Education Expenditures Stagnate at 9.5% of GDP Despite Nominal Increase

Education Expenditures Stagnate at 9.5% of GDP Despite Nominal Increase

German government and private sector spent a record 398 billion euros in 2023 for education, research and science in Germany, according to the Federal Statistical Office’s preliminary calculations. This represents a nominal increase of seven percent compared to the previous year and accounts for 9.5 percent of the country’s gross domestic product.

Breaking down the figures, the public and private sectors spent a total of 283 billion euros on education, a six percent increase from the previous year. This includes 231 billion euros on educational institutions, with the largest portion, 130 billion euros, going towards schools and related areas, followed by 51 billion euros for tertiary education institutions and 47 billion euros for kindergartens.

In addition, 16 billion euros were spent on education funding and 27 billion euros on other education-related areas, such as vocational training, community centers and adult education centers.

Private companies and non-university research institutions invested 107 billion euros in research and development, an eight percent increase from the previous year. Meanwhile, eight billion euros were spent on the infrastructure of education and science, including libraries and museums, a 17 percent increase.

Although the breakdown of funding by sector is not yet available for 2023, in 2022, the public sector, including the federal government, states and municipalities, financed 65 percent of the total expenditure for education, research and science, with the private sector accounting for 33 percent and foreign sources, two percent.