Immigration impact on economic output and demographic trends

A study by the Institut der deutschen Wirtschaft (IW) reports that foreign workers contributed approximately 68.3 billion euros to the economic output of six East German states and Berlin in 2025. This figure represents about 10.5 percent of the total gross value added, a number that could exceed 90 billion euros when including indirect and induced effects.

Critics argue that the IW study may be used as a political tool ahead of regional elections in East Germany. They suggest the data is selective because it highlights the productive output of migrants while omitting the fiscal costs associated with integration, infrastructure, and social transfers.

In a broader economic context, economist Nouriel Roubini suggests that immigration can mitigate the challenges of aging populations in industrialized nations. He notes that younger immigrant workers contribute to social and health insurance systems, boost consumer demand, and increase tax revenues, which can help manage national debt. Similarly, economist Dani Rodrik advocates for welcoming immigrants to stimulate economic growth.