Germany, the host of Euro 2024, can anticipate a significant economic boost of approximately 1 billion euros ($1.07 billion) from foreign tourists attending the soccer games, according to a forecast by the Ifo institute on Friday.
This influx represents about 0.1% of Germany’s economic output in the second quarter of the year. The hospitality and food retail sectors are expected to benefit the most from the event, as stated by the country’s top economic research institute.
“However, the effect is only short-lived, so that exports of services due to returning tourists are likely to fall again after the end of the European Championship in the third quarter and remain the same on balance,” said Ifo researcher Gerome Wolf.
The institute’s calculations, based on data from the FIFA World Cup hosted by Germany in 2006, predict more than 600,000 additional foreign tourists and 1.5 million extra overnight stays during the championship.
The German Economy Ministry also anticipates a temporary boost in consumer-facing sectors, following a year of very subdued retail sales, though not to the same extent as during the 2006 World Cup.
Experts agree that the overall impact of Euro 2024 on Europe’s largest economy will also depend on the performance of the German national team in the tournament. The championship will kick off with Germany’s match against Scotland on Friday evening.