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.

At the same time, Germany recorded 16,576 participants in the voluntary return program REAG/GARP in 2025, up from 10,358 in 2024, according to the Federal Ministry of the Interior. The largest groups of returnees came from Turkey and Syria, followed by Russia, Georgia, and Iraq.

The voluntary return scheme offers financial incentives for leaving Germany, including one-time payments of up to €1,000 per adult and €500 per child, as well as travel and medical support. However, some migrants later returned to Germany after taking part in the program.

Under current rules, returnees can re-enter Germany without repaying the funds if more than five years have passed since their departure. Over the past decade, more than 15,000 migrants have returned to Germany after previously participating in voluntary return programs.