Economic impact from German election will not be felt until 2026 as government negotiations begin

CDU/CSU win

Sorin Dojan
clock • 4 min read

Any future German government will face challenges in pushing through significant reforms, as analysts forecast “economic implications” resulting from the election will likely not be felt until next year.

German voters went to the polls on Sunday (23 February) to elect the country's next Bundestag after Chancellor Olaf Scholz lost a confidence vote in December 2024, triggering early elections. The Christian Democratic Union (CDU) party and its affiliate, the Christian Social Union in Bavaria (CSU), won 28.6% of the votes, followed by the far-right AfD party at 20.8%, and Scholz's Social Democratic Party of Germany (SDP) at only 16.4% of the votes. Conservatives win German election as challenges mount for next government Markets have reacted modestly to the election results. Acc...

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