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Hamburg’s Economy Outpaces Germany With 1.1% Growth in Early 2025

While Germany’s economy stalls, Hamburg thrives—again. Discover how tourism, construction, and smart reforms fueled its 1.1% growth in a stagnant nation.

The image shows an old map of the city of Hamburg, Germany, with text and pictures on the paper....
The image shows an old map of the city of Hamburg, Germany, with text and pictures on the paper. The map is detailed and shows the various cities, towns, and other geographical features of the area. The text on the map provides additional information about the city, such as its population, roads, and landmarks.

Tschentscher Praises Hamburg's Economic Performance - Hamburg’s Economy Outpaces Germany With 1.1% Growth in Early 2025

Hamburg’s economy grew by 1.1% in the first half of 2025, outperforming the national average for the second year running. While much of Germany saw stagnation or decline, the city’s progress stood out against stronger regional rivals like Baden-Württemberg and Bavaria.

Key sectors such as tourism, construction, and port activity drove the expansion. Officials also highlighted gains in cutting bureaucracy, expanding trainee housing, and modernising infrastructure as contributing factors.

Hamburg’s GDP increase of 1.1% marked another year of above-average growth. The figure placed it well ahead of Baden-Württemberg and Bavaria, where economic performance lagged behind. Nationally, Germany’s economy remained flat, with only Schleswig-Holstein and Hamburg avoiding contraction.

The city’s success stemmed from a mix of thriving industries. Tourism numbers climbed, construction projects expanded, and container traffic at the port reached higher volumes. Local authorities also pointed to efforts in streamlining administration, building new schools, and improving housing for trainees as supporting long-term stability. Meanwhile, Schleswig-Holstein made strides in digital and green transitions. The state now offers 300 administrative services online, setting a benchmark for efficiency. In climate action, it led with advances in wind power, battery storage, and hydrogen technology. Minister-President Daniel Günther called for sustained investment in innovation, training, and business development to maintain the region’s edge. Both Hamburg and Schleswig-Holstein still face challenges in keeping up digitalisation and modernising public services. Officials stressed the need to build on current progress to secure future growth.

Hamburg’s 1.1% growth in early 2025 confirms its position as one of Germany’s strongest-performing regions. The gains reflect a combination of industrial strength, infrastructure upgrades, and reduced administrative hurdles.

With Schleswig-Holstein also making advances in digital and green sectors, the two states now lead in areas critical to long-term economic resilience. Their continued focus on innovation and efficiency will shape their performance in the coming years.

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