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25.08.202606:00:00UTC+00German Growth Momentum Eases as Q2 GDP Slips to 0.3% QoQ

Germany’s economic growth lost some momentum in the second quarter of 2026, with gross domestic product (GDP) expanding by 0.3% quarter-on-quarter, down from a 0.4% increase in the previous quarter. The latest reading, updated on 25 August 2026, points to a modest cooling in Europe’s largest economy.

The second-quarter figure compares the change in output against the first quarter, while the earlier 0.4% result for the second quarter of 2026 reflected growth versus the preceding three-month period. The slight deceleration suggests that while the German economy continues to grow, the pace of expansion has softened, potentially signaling more cautious business and consumer activity as the year progresses.

Market participants and policymakers are likely to scrutinize the quarter-on-quarter trend for signs of whether this slowdown is temporary or the beginning of a more protracted period of weaker growth, with implications for fiscal planning, investment decisions, and monetary policy expectations across the euro area.

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