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Startup

Huge Spike in VC for German Start-Ups

Fledgling firms in Germany raked in EUR 2.4 billion worth of funding in the second quarter of 2025, 45 percent more than in the previous year.

Venture capital investment reached EUR 4 billion in the first six months of this year, according to Germany’s economic development bank, the KfW. It’s the third straight half-year period in which start-up funding has risen.

Germany now has 32 unicorns, more than ever before, the KfW added. 208 funding rounds took place in Q2 2025, 98 of which had a volume of EUR one million  or more. 

The KfW said that one reason for the boom is greater activity among foreign investors, particularly from the USA. Between 2020 and 2024, foreign investors pumped some EUR 37 billion into German start-ups.

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