Reconciling competitiveness and demographic change: a Franco-German imperative
France and Germany are facing parallel demographic shifts that could reshape the future of their economies and their social models. These shifts reflect broader European patterns but are magnified by the central role both nations play in EU governance and competitiveness.
This article gathers ideas based on the discussions held at the 2025 Genshagen Forum. It looks at how France and Germany are dealing with demo- graphic decline – and why this matters for Europe as a whole. It explores the pressures ageing populations put on labour markets, welfare systems and regional balance, and highlights where the two countries diverge and where they must act together. The focus is on practical policy options and the role of Franco-German cooperation in turning demographic risk into strategic opportunity.
This paper resulted from a workshop at the 13th Genshagen Forum for Franco-German Dialogue (June 26 and 27, 2025) with the topic “EU competitiveness: heading or drift?”.
Kevin Genna is Economist, Chaire transitions démographiques, transitions économiques at the Fondation du risque, Paris
Jeanette Süß is Research Fellow, Study Committee on Franco-German Relations (Cerfa) at the French Institute for International Relations (Ifri), Paris
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Genshagen Forum for Franco-German Dialogue. Genshagen Foundation, Berlin
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