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GermanyEconomy11 days ago

DIW fears recession in Germany

The German economic research institute DIW has revised its economic forecast downward, predicting a temporary recession in Germany during the first half of 2026 due to the energy price shock caused by the Iran war. The institute expects a slight decline in economic performance during the spring and summer quarters, with growth projected at 0.5% for 2026 and 0.8% for 2027. This represents a significant reduction from earlier forecasts made in March 2026. According to DIW, the economy is expected to stabilize by year-end, partly due to the federal government’s financial package.

Skip next section World Cup: Germany pays for fan travel to group stage game amid high transport costs June 11, 2026

World Cup: Germany pays for fan travel to group stage game amid high transport costs

Germany's World Cup team is subsidizing the travel costs of 600 supporters for their last Group E game against Ecuador in New Jersey on June 25, a media report says.

City authorities at NJ Transit hiked bus and train fares by several times their normal levels, citing increased strain on services.

Amid the ensuing backlash, fares were reduced again, but that did little to mollify the fans who had already paid the gouging fares.

"In light of the high cost of bus and train travel in New York durng the World Cup, the German national team players have organized free transport to the final group match for 600 fans," the BBC quoted the German Football Association (DFB) as saying. "Captain Joshua Kimmich and his teammates are covering the cost of buses to take supporters from New York to the arena in New Jersey for the match against Ecuador."

A round trip by train to the stadium would usually cost $12.90, but NJ Transit initially set it at $150 for World Cup games . It has since reduced it somewhat, to $98, still 7.5 times the normal fare.

Special shuttle bus tickets were originally priced at $80 but now stand at $20. Germany's first group game is in Houston and its second is in Toronto.

Can the FIFA World Cup kick-start the economy?

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https://p.dw.com/p/5FDY4

Skip next section German brigade holds first drill in Lithuania June 10, 2026

German brigade holds first drill in Lithuania

Germany has set up the tank brigade in response to what it sees as a Russian threat Image: Kay Nietfeld/dpa/picture alliance Germany's new tank brigade in Lithuania has carried out its first combat exercise in the Baltic state.

Commander Christoph Huber said the drill in Pabrade marked a key step toward combat readiness.

Huber said the unit is learning from developments in Ukraine and must prepare for future conflict scenarios, not past wars.

Germany has set up the brigade in response to what it sees as a growing threat from Russia. The unit is due to reach full strength of about 4,800 soldiers and 200 civilian staff by 2027. Lithuania borders Russia's ally Belarus and the Russian exclave of Kaliningrad.

Around 2,900 troops and 800 vehicles from eight NATO countries have been taking part in the exercise at the Pabrade training ground, about 15 kilometers from the Belarusian border.

The Bundeswehr has also deployed more than 300 drones as part of the drills, reflecting lessons from modern warfare.

https://p.dw.com/p/5F97r

Skip next section ILA air show opens in Berlin with scrapping of FCAS looming large June 10, 2026

ILA air show opens in Berlin with scrapping of FCAS looming large

This year's show has been overshadowed by the recent scrapping of a Franco-German fighter jet project .

German Chancellor Friedrich Merz and French President Emmanuel Macron said that manufacturers Dassault and Airbus had failed to resolve key disputes.

The Future Combat Air System (FCAS) program, launched in 2017, aimed to build a next-generation fighter to replace Eurofighters and Rafales by around 2040. It would have been one of Europe's largest defense projects.

Eurofighters, seen here at the ILA on Wednesday, have been in service since 2003 Image: Axel Schmidt/REUTERS

The project's failure is a blow to European security cooperation efforts and highlights the difficulties the continent faces in coordinating on military and defense initiatives.

It also comes as Europe seeks to boost its defense capabilities amid the threat from Russia, strained US-NATO ties and the ongoing war in the Middle East.

At the ILA on Wednesday, Merz said German and French defense ministers would ‌outline ⁠a ⁠reworked collaboration project between the two neighbors on air defense data networks by July.

"Our defense ministers will ​now ‌work out how this can be implemented in the run-up ‌to the next Franco-German intergovernmental ‌meeting ​in Germany, which we will be holding in July," Merz said ​at the Berlin air show.

The pledge to focus on a "combat cloud" — data networks between warplanes and related software — comes after the flagship FCAS project was abandoned this week.

Eight companies, led by Airbus, are set to unveil a new plan for next-generation European fighter jets at the ILA on Thursday, to replace the FCAS, according to the AFP news agency.

Europe's massive defense gamble

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Skip next section Surveillance of 'Maddie' suspect faces legal hurdle June 10, 2026

Surveillance of 'Maddie' suspect faces legal hurdle

A court order allowing police surveillance of the German suspect in the Madeleine McCann case ha…

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Source document: DIW (Deutsche Institut für Wirtschaftsforschung)

3 reports

Tagesschau (ARD)State / PublicCenter11 days ago
DIW fears recession in Germany

The German economic research institute DIW has revised its economic forecast downward, predicting a temporary recession in Germany during the first half of 2026 due to the energy price shock caused by the Iran war. The institute expects a slight decline in economic performance during the spring and summer quarters, with growth projected at 0.5% for 2026 and 0.8% for 2027. This represents a significant reduction from earlier forecasts made in March 2026. According to DIW, the economy is expected to stabilize by year-end, partly due to the federal government’s financial package.

Bias read (Center): The article presents the DIW's updated economic projections without overtly favoring any political side. It includes direct quotes from DIW officials and explains the reasons behind the revised forecasts, such as the impact of the Iran war on energy prices. There is no evident bias in the framing or

Official sources cited

  • organisation DIW (Deutsche Institut für Wirtschaftsforschung)
Deutsche Welle (English)State / PublicCenter11 days ago
Germany news: Recession looms as Iran war chokes growth

Germany's national football team is covering the travel expenses for 600 fans attending their World Cup group stage match against Ecuador in New Jersey. This follows significant increases in public transportation fares by NJ Transit during the World Cup, which sparked backlash and subsequent reductions in pricing.

Bias read (Center): The article reports on a specific logistical arrangement involving Germany's football team and fan travel costs without taking a stance on economic policy, political issues, or ideological positions. The focus is on event logistics and transportation costs rather than broader political or economic争议

Official sources cited

  • organisation German Football Association (DFB)
  • organisation BBC
HandelsblattParty-aligned🔒Center11 days ago
The German economy is still not growing, according to DIW

The German economy is growing very slowly according to the DIW institute.

Bias read (Center): The article presents a factual statement based on the DIW institute's assessment without apparent ideological framing or biased language. It does not emphasize any particular political perspective or agenda.

Official sources cited

  • organisation DIW Institute

Go to the primary sources (4)

The official sources this coverage is built on. Read them directly to bypass framing.

  • organisationDIW (Deutsche Institut für Wirtschaftsforschung)
  • organisationGerman Football Association (DFB)
  • organisationBBC
  • organisationDIW Institute