Germany Economy
Key national economic indicators, compared with the United States
Germany’s economy at a glance
Germany’s unemployment rate was 4.0% in July 2026, up from 3.8% a year earlier (U.S.: 4.1%). Consumer prices were up 2.2% from a year earlier as of March 2025, compared with 3.4% U.S. inflation. Real GDP grew 1.0% year over year in Q2 2026 (U.S.: 2.1% on the same basis).
The central bank’s policy rate stood at 2.19% as of August 2026, versus an effective federal funds rate of 3.63% in the U.S. The 10-year government bond yield was 3.18%, compared with 5.01% on 10-year U.S. Treasuries. The exchange rate was 1.1604 (USD per EUR), a 1.1% fall over the past year. Residential property prices were down 0.8% year over year as of Q1 2026.
Germany vs. the United States
| Indicator | Germany | As of | United States | As of |
|---|---|---|---|---|
| Unemployment rate | 4.0% | Jul 2026 | 4.1% | Aug 2026 |
| Inflation (CPI, YoY) | 2.2% | Mar 2025 | 3.4% | Aug 2026 |
| Real GDP growth (YoY) | 1.0% | Apr 2026 | 2.1% | Apr 2026 |
| Central bank policy rate | 2.19% | Aug 2026 | 3.63% | Aug 2026 |
| 10-year government bond yield | 3.18% | Aug 2026 | 5.01% | Sep 2026 |
Unemployment rate
Inflation (CPI)
Real GDP growth
Interest rates
Exchange rate
Industrial production
Home prices
Trade in goods
Consumer confidence
Comparing Germany with other economies
International statistics are compiled to common standards by the OECD, the IMF and the Bank for International Settlements, which makes cross-country comparison possible — but definitions still differ at the margins. Unemployment rates follow International Labour Organization guidelines, while inflation is measured with each country’s own consumer price index, which may weight housing, food and energy differently than the U.S. CPI. GDP growth on this page is year-over-year, so it is not directly comparable with the annualized quarterly rate usually quoted in U.S. news.
Exchange rates are shown as published by the Federal Reserve, so check the units: some currencies are quoted per U.S. dollar and others (such as the euro and British pound) in U.S. dollars per unit of the foreign currency. Policy rates are those set by each country’s central bank; for euro-area members such as Germany, France and Spain, the rate is set by the European Central Bank and is identical across the bloc.