Germany recorded a significant rise in foreign direct investment in 2025.
According to the Institute for the German Economy (IW), foreign firms invested about €96 billion-more than double the €43 billion invested the previous year. For the first time in years, overseas companies put more capital into Germany than German companies invested abroad.
An IW estimate, relying on Deutsche Bundesbank data, shows that the inflow of foreign direct investment in 2025 exceeded outflows by roughly €10 billion. Excluding the exceptional circumstances of the first COVID‑year, this is the first such surplus since 2003. From 2000 to 2024, Germany’s average net outflow was about €25 billion per year.
Jürgen Matthes, a trade researcher at IW, said that Germany’s predictability in an uncertain world now matters more than before. He added that President Donald Trump’s unpredictable threats could harm not only partners but also the U.S. economy. Legal certainty and calculability are becoming competitive advantages for Germany on the global stage.