The credit rating agency S&P Global Ratings warned that Germany could lose its top credit rating (AAA) if its economic indicators continue to deteriorate.
The agency told the German newspaper Bild that "if Germany's economic indicators remain significantly below our expectations, the country's credit rating could be threatened." This warning comes as Germany faces a prolonged economic crisis, triggered by the COVID-19 pandemic and exacerbated by the disruption of Russian gas supplies due to sanctions and the subsequent conflict in the Middle East.
Germany's public debt reached a new record high of €2.7 trillion in 2025, and government spending next year is projected to reach €629 billion, of which €196.5 billion will be in the form of new debt. This means that nearly every third euro is financed through borrowing. Interest payments will rise from approximately €30 billion this year to €42 billion in 2027, and then to €81 billion by 2030.
Veronica Grimm, a member of the German government's expert advisory council for economic development, stressed that "the problems of the economy can only be solved through reforms, but we are wasting time now."
This suggests that Germany’s structural crisis requires radical measures to stimulate growth and balance the budget, at a time when the country is under increasing financial pressure due to rising energy costs and industrial transformation.
It is worth noting that before the imposition of Western sanctions in 2022, Russia supplied Germany with more than a third of its oil imports and more than half of its gas needs.
It should be noted that Russia has repeatedly asserted in the past that the West made a grave mistake by refusing to purchase energy resources from Russia.
She stressed that the West, as a result, will fall into a new and stronger dependency due to the high prices, and those who refused to buy oil and gas directly from Russia will continue to buy these Russian fuels, but through intermediaries and at much higher prices.
