Germany Spent Nearly €25 Billion on Migration in 2025
22nd May 2026
Germany spent €24.8 billion on migration-related costs in 2025, according to the federal government’s “Refugee Cost Report,” cited by the finance ministry. Although this represented a decline of €3.2 billion compared to the previous year, the overall financial burden remained high.
A large share of federal spending went toward refugee and integration courses, as well as fixed payments to states and municipalities for asylum seekers. This included a lump sum of €7,500 per initial asylum application, transferred to the states through adjustments to value-added tax revenues. In 2025, advance payments totaled around €1.25 billion, though the federal government expects to reclaim approximately €250 million from the states afterward.
Despite these contributions, several federal states argued that their actual migration-related costs far exceeded federal reimbursements. Bavaria said its support for municipalities covering accommodation, care, and integration “significantly exceeds” the federal compensation payments. Hamburg also called for increased federal funding.
The report highlighted rising costs linked to unaccompanied minor migrants. In North Rhine-Westphalia alone, spending on accommodation and care for unaccompanied minors reached around €667 million in 2025, an increase of roughly €320 million compared to the previous year. State authorities warned that a rapid reduction in costs was unlikely because of the continuing high number of arrivals. Hesse also reported higher spending, with costs rising by around €30 million to €234.9 million.