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Goldman Sachs raises 2025 economic growth forecast for Germany, Euro area

Published by Global Banking & Finance Review

Posted on March 6, 2025

1 min read

· Last updated: January 25, 2026

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(Reuters) - Goldman Sachs raised its economic growth forecast for Germany this year, citing the prospect of increased military and infrastructure spending, and also upgraded the growth estimate for

Goldman Sachs Upgrades Economic Growth Forecast for Germany and Euro Area

(Reuters) - Goldman Sachs raised its economic growth forecast for Germany this year, citing the prospect of increased military and infrastructure spending, and also upgraded the growth estimate for the broader Euro area.

For Germany, Goldman now expects a 0.2% growth, up by 0.2 percentage points. In a note late Wednesday, the brokerage projected the Euro area's growth to increase by 0.1 percentage point to 0.8%.

(Reporting by Siddarth S in Bengaluru; Editing by Sherry Jacob-Phillips)

Key Takeaways

  • Goldman Sachs upgrades Germany's 2025 growth forecast.
  • Germany's growth expected to rise by 0.2 percentage points.
  • Euro area's growth forecast increased by 0.1 percentage point.
  • Increased military and infrastructure spending cited.
  • Report edited by Sherry Jacob-Phillips.

Frequently Asked Questions

What is Goldman Sachs' new growth forecast for Germany?
Goldman Sachs now expects a 0.2% growth for Germany, which is an increase of 0.2 percentage points.
How much has the Euro area's growth estimate been upgraded?
The growth estimate for the Euro area has been upgraded by 0.1 percentage point to 0.8%.
What factors contributed to the increased growth forecast?
The increased military and infrastructure spending prospects were cited as key factors for the upgraded growth forecast.

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