NRW Economy Faces Slow Growth and Persistent Challenges in 2025

Economic forecasts predict minimal growth of 0.3% for North Rhine-Westphalia, hindered by weak demand, high energy costs, and political uncertainty.

The RWI – Leibniz Institute for Economic Research projects a modest 0.3% economic growth for North Rhine-Westphalia in 2025, following stagnation in 2024.
Key challenges include weak industrial demand, elevated energy and raw material costs, and heightened global competition.
Economic uncertainty surrounding the upcoming Bundestag elections and U.S. trade policy under President Donald Trump is dampening investment and consumer spending.
Despite broader struggles, the labor market remains relatively stable, with 10,000 new jobs expected in 2025, driven by the service sector and contributions from non-German workers.
NRW officials, including Economy Minister Mona Neubaur, are urging the federal government to lower energy costs, reduce bureaucracy, and strengthen economic competitiveness.