🇩🇪 Germany · Investment

Foreign investment rules, incentives, investment promotion agencies, and restricted sectors.

Quick answer

Germany actively welcomes foreign investment through Germany Trade & Invest (GTAI), with free movement of capital and no exchange controls. Investments in critical or security-sensitive sectors can be screened by the Federal Ministry for Economic Affairs; incentives include regional grants (GRW) and an R&D tax allowance.

Inward investment is supported by Germany Trade & Invest (GTAI); foreign investments in sensitive sectors are screened under the Foreign Trade and Payments Act by the Federal Ministry for Economic Affairs.

  • GTAI offers free advisory support to companies investing in Germany.
  • Acquisitions in sensitive sectors may require clearance under the investment-screening rules.
  • Most investment incentives are delivered at federal and state (Land) level.

Step-by-step

  1. 1

    Check the investment regime

    Germany welcomes FDI with free movement of capital; GTAI provides advice and support to investors.

  2. 2

    Check investment screening

    Acquisitions in critical infrastructure, defence or sensitive technology can be screened under the Foreign Trade and Payments Act (AWG/AWV).

  3. 3

    Choose your vehicle and register

    Set up a GmbH (or branch), register in the commercial register (Handelsregister) and with the tax office (Finanzamt).

  4. 4

    Access incentives

    Use regional investment grants (GRW), the R&D tax allowance (Forschungszulage) and EU/state programs where eligible.

  5. 5

    Handle capital and repatriation

    There are no exchange controls, so capital, dividends and profits move freely within the EU and abroad.

  6. 6

    Meet reporting and protections

    File Bundesbank statistical reports where required and keep corporate/tax filings; EU law and treaties protect investors.

Checklist

  • Open regime (free capital) + GTAI support
  • AWG/AWV screening (critical/security sectors)
  • GmbH/branch + Handelsregister + Finanzamt
  • GRW grants + R&D allowance (Forschungszulage)
  • No exchange controls (free flows)
  • Bundesbank reports + corporate/tax filings
  • EU-law + investment-treaty protection
  • CTA to .com/.ai for AI-assisted planning

Official authorities

Frequently asked questions

Does Germany screen foreign investment?

Only in sensitive areas — critical infrastructure, defence and certain technologies can be screened under the AWG/AWV; most investment is unrestricted.

What incentives are available?

Regional investment grants (GRW), the R&D tax allowance (Forschungszulage), and various state and EU programs supporting jobs and innovation.

Can I repatriate profits from Germany?

Yes — Germany has no exchange controls, so dividends and capital move freely (statistical reports and withholding tax may apply).

Official-information aggregation, not legal advice. Always verify on the authority's own site.

Government portals

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