In 2023, government budgets for R&D and tax incentive support for business R&D in Germany stood at approximately €37.00 billion. From 2024 to 2028, projections indicate a steady growth trajectory. Specifically, the budget is forecasted to grow from €38.03 billion in 2024 to €41.36 billion in 2028, reflecting an annual growth of around 2% year-on-year. Over the five-year forecast period, the compound annual growth rate (CAGR) is approximately 2.13%, indicating a consistent investment approach by the German government.
Future trends to monitor include technological advancements and geopolitical factors that may influence R&D investments. Moreover, the interplay between government incentives and private sector innovation could further drive shifts in funding priorities and strategic alignments within the industry.
