Ifo Survey: German Companies Keep Climate Protection Investments Nearly Stable in 2026

Ifo researcher Gerome Wolf critically assesses this development. Ifo researcher Gerome Wolf spoke of no notable increase in a phase in which climate-friendly investments are particularly important to achieve international and national emissions targets. From the Institute's perspective, the share would need to rise significantly in order to achieve the agreed climate targets at all.

Economic Restraint

Background of the survey

The Ifo survey is directed at companies in Germany and regularly measures what share of investments is attributed to climate protection. These include, for example, investments in more energy-efficient equipment, in renewable energies, in thermal insulation, or in the electrification of production processes. The current figures show that many companies continue to treat such measures only as part of their regular investment portfolio.

Political Significance

Economic restraint

Observers point to several reasons for the hesitant momentum. High energy costs, uncertain subsidy conditions, and a weak economy lead companies to postpone investments. When climate protection measures are associated with additional costs without reliable framework conditions, many companies shy away from larger steps. In addition, climate protection-related spending competes with other investment needs such as digitalization, automation, or capacity expansions.

Demands on Policymakers

Political significance

The results are politically sensitive because the German federal government and the European Union want to raise their climate targets significantly in the coming years. If companies do not noticeably expand their climate protection investments, it will become more difficult to achieve the set greenhouse gas reduction targets. Economic researchers therefore demand stable funding instruments, clear regulatory requirements, and a reliable energy policy to give companies planning certainty.

Demands on policymakers

Wolf and other experts argue that climate protection should be understood not exclusively as a cost factor, but also as a locational advantage. Those who commit early to climate-friendly technologies can secure long-term competitive advantages and avoid regulatory risks. Policymakers are called upon to design framework conditions in such a way that investments in climate protection pay off for companies.

Outlook for 2026

The outlook remains subdued. Should nothing fundamentally change in the investment ratio by the end of the year, the German economy will make only a limited contribution to achieving national and European climate targets in 2026. The Ifo Institute intends to continue monitoring the development with further surveys and to survey companies again in the coming year. It is emphasized with urgency that only a significant increase in climate protection investments can actually help achieve the emissions targets.

Weather note from Bavaria

The weather in Bavaria: Initially thundery rain, later sun with temperatures of 21 to 27 degrees.

Dating and source

The current planning data come from the Ifo investment survey for the year 2026 and were published by the Institute as an evaluation of company figures. They are regarded as an important early indicator of how seriously the economy takes its own climate targets.