Bundesbank Report Highlights Worsening Wealth Inequality in Germany

New data reveals inflation-adjusted declines in household wealth, with the poorest disproportionately impacted and regional disparities persisting.

The Bundesbank's fifth survey confirms that the richest 10% of German households hold 54% of private wealth, while the bottom half owns just 3%.
Inflation, exacerbated by the Russian attack on Ukraine, has caused real wealth for poorer households to drop by over 20% between 2021 and 2023.
Adjusted for inflation, the median household wealth fell by 16% to €76,000, highlighting the economic strain on middle and lower-income groups.
Regional disparities remain stark, with average net wealth in West Germany (€364,900) more than double that in East Germany (€170,100).
Household indebtedness has decreased, with 39% of households carrying debt in 2023 compared to 45% in 2017, reflecting post-pandemic financial adjustments.