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Germany’s BAföG Stalled by Budget Cuts as Student Aid Hits 25-Year Low

A €250 million 2026 budget cut undermines promised grant hikes, leaving student participation at its lowest level since 2000.

Overview

  • Statistisches Bundesamt data show BAföG recipients fell by 4 percent in 2024 to 612,800, marking the smallest cohort since 2000.
  • The coalition pact envisions raising the basic grant to social-security levels (€563) and boosting the housing allowance to €440 by 2026, but the funding reduction casts doubt on implementation.
  • Students and the Deutsches Studierendenwerk warn that annual reapplications, extensive documentation and analog-heavy processing deter many eligible applicants.
  • Only 10,700 students have claimed the €1,000 Studienstarthilfe since winter semester 2024/25, as narrow eligibility criteria and duplicate paperwork discourage participation.
  • A Fraunhofer Institute study finds that simplifying applications and extending outreach could lift BAföG uptake from 12 percent to at least 27 percent of eligible students.