Germany

Basic Information

82.8 million

Area

Population

Workforce

Language

Political System

Currency

Membership

45.9 million

German

Parliamentary democracy

Euro (EUR)

EU, NATO, OECD, OSCE, G7, G20, UN, Schengen Area, Council of Europe…

Berlin

Capital

357,022  sqkm

Czech Republic
Poland
Slovakia
Germany
France
Hungary
Germany
Spain
United Kingdom
Ireland
Romania
Luxembourg
Netherlands
Slovenia
Italy
Bulgaria
Austria
Croatia
Belgium
Portugal
Malta
Estonia
Latvia
Lithuania
Greece
Sweden
Denmark
Finland
Cyprus
Malta
Estonia
Latvia
Lithuania
Greece
Sweden
Denmark
Finland
Cyprus

Germany is a country on the Baltic Sea and the North Sea in West and Central Europe bordered by Denmark, Belgium, Luxembourg, France, Switzerland, Austria, The Czech Republic and Poland. The country was a founding member of the European Economic Community in 1957 and the European Union in 1993. The country became a co-founder of the Eurozone in 1999.

Germany is divided into five major areas from North to South: Northern Germany Lowland, Central Mountain, Southwest German Central Mountain, Southern German Alps and Bavarian Alps. The main rivers are the Rhine, Danube and Elbe. It is the 4th largest economy in the world by GDP after the US, China and Japan as of 2017. In 2017, the country accounted for 28% of the euro area economy according to the IMF.

The service sector contributes around 70% of the total GDP, industry 29.1%, and agriculture 0.9%. Exports account for 41% of national output. The economy of Germany is the largest manufacturing economy in Europe, and many companies are headquartered in Germany such as Allianz, Daimler, Volkswagen, Siemens, BMW, Deutsche Telekom, Bayer, BASF, Munich Re and SAP.
Major Industries

Automotive

Machinery & Transportation

Chemicals

Electronics

Pharmaceuticals

ICT

Energy

Environmental Technology

Major Trade Partners

Export

China, Netherlands, France, USA, Italy, Poland, Switzerland, Czech Republic, Austria, Belgium

Import

USA, France, China, UK, Netherlands, Italy, Austria, Poland, Switzerland, Belgium

Reasons to Invest

  • Stable economy and investment framework
  • Leading financial force
  • 4th largest economy by GDP in the world (2017)
  • 3rd largest exporter in the World (2016)
  • High labor productivity and excellent labor force
  • High quality of living
  • Best location for R&D in Europe
  • 1st class infrastructures
  • Attractive incentives

63.90 %

4,481 USD

General government debt (GDP, 2017)

Long-term interest rates
(10Y government bonds)

Average inflation rate (2018)

Labour productivity (index, 2018)

Unemployment rate (avg. 2018)

Average nominal gross wage (12/2018)

-0.01 %

0.87

AAA

1.73 %

99.50

3.4 %

1.40 %

GDP growth (constant prices, 2017)

2.2 %

3,899 EUR

Average nominal monthly gross wage
(2018)

Average nominal monthly gross wage
(2018)

Exchange rate - EUR/USD (31/12/2018)

Credit rating (S&P, 2017)

Economic Indicators

40 hours / week

47.50 %

Maximum Working Hours

Maximum Overtime Hours

Compensation for Overtime / Holiday Work

Minimum Number of Paid Holidays

Sick Days

Maternity Leave

Parental Leave

Social Security (Companies)

Notice Period

Social Security (Employees)

Probation Period

Labour Union
(Proportion of Employee/Collective Bargaining Coverage)

8 hours / week

19.00 %

By contract / agreement

20 days

Until 3 years old

19.43 %

Minimum 1 month

20.78 %

3-6 months

18 % / 62 %

Sick pay without first 3 days

14 weeks

Minimum Wage (2019)

9.91 EUR / hour

29.79 %

Corporate Tax

Income Tax

Value Added Tax (VAT)

OtherTax:

Sales tax (including corporate tax)

Taxation System
Labour Regulations
Source: World Atlas, Trading Economics, Eurostat, World Bank, Inflation EU, Exchange Rate ORG