Some countries around the world are so wealthy that they dominate the global economy. When people think of the planet’s biggest financial powers, two names usually appear straight away – the United States and China. But the next country on that list is not in Asia or North America. It is in Europe, and its economy is far larger than many people realise.
Several European nations have strong economies, but one stands out above the rest. It produces more goods and services than any other country on the continent and continues to outperform its neighbours year after year. It also has a higher GDP than the UK, Portugal and Greece combined.
According to the latest figures, this country generates trillions every year and sits comfortably among the top global economies.
Figures from the World Population Review for 2025 show that Germany is the richest country in Europe, with a GDP of $4.74 trillion.
The UK comes second with $3.84 trillion, while France is third with $3.21 trillion, Italy fourth with $2.42 trillion, and Russia fifth with $2.08 trillion.
Further down the list, Portugal ranks 18th with $321.44 billion, and Greece sits 20th with $267.35 billion, meaning Germany’s GDP is larger than the UK and both nations combined.
Germany’s wealth comes from a highly developed and diverse economy. It has the largest national economy in Europe and one of the biggest in the world.
It is also a founding member of the EU and the eurozone, and accounts for nearly a quarter of the entire euro-area economy.
The country is known for its huge export industry, and it is the third-largest exporter on the planet, selling $1.66 trillion worth of goods and services in 2024.
It also recorded a trade surplus of $255 billion, one of the highest globally.
Its exports include vehicles, machinery, chemicals, electrical equipment, electronic products, pharmaceuticals and plastics.
Germany is also Europe’s biggest manufacturing nation, producing around one-third of the continent’s industrial output.
Experts say this strong industrial base helps the country stay resilient during global crises.
Germany invests heavily in research and development, spending around 3.1% of its GDP on scientific and technological innovation. It also has one of the world’s strongest social security systems.
Germany has significant natural resources too, including timber, lignite, potash and salt, as well as smaller natural gas reserves.
It is also one of the world leaders in renewable energy. The country has committed to the Energiewende, which is a long-term plan to transition to sustainable energy, with almost half of its electricity coming from renewables.
The economy is also driven by the “Mittelstand”, millions of small and medium-sized businesses that dominate global markets in specialised industries.
These so-called “hidden champions” make up nearly half of the world’s market leaders in their sectors.
Financial hubs like Frankfurt, Munich, Hamburg and Berlin also play a big role, as do the country’s global banks and international trade fairs, which attract companies from around the world every year.
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