Saxony once again ranks first in a comparison of German states from an educational economics perspective. In this year’s “Education Monitor” published by the employer-aligned Initiative Neue Soziale Marktwirtschaft (INSM), the Free State of Saxony remains the frontrunner. As in the previous year, Bavaria, Hamburg, and Baden-Württemberg follow behind. At the bottom of the rankings are North Rhine-Westphalia and Saxony-Anhalt, ahead of Bremen, which once again brings up the rear. The comparative study conducted by the German Economic Institute (IW) examines the educational systems of the federal states using 98 so-called indicators. For example, education spending per student is compared to total public budget spending per resident. The study also compares investments in schools and universities, staff-to-student ratios in educational institutions, class sizes, the high school dropout rate, and participation in full-day programs. The focus, it says, is on the contribution the education system makes to securing prosperity, creating opportunities for social mobility for individuals, and ensuring participation. The authors point to negative trends in recent years that educational studies have repeatedly revealed: declining proficiency in mathematics, science, and reading, as well as a rising proportion of students who fail to meet minimum standards or earn a diploma. “This jeopardizes not only individual participation and opportunities for upward mobility, but also the skilled workforce of the German economy as a whole.” The Education Monitor identifies a need for action ranging from early language support to flexible pathways for vocational retraining. The demographic trend—with a shrinking working-age population in the eastern German states—is described as “particularly dramatic.” Immigration is important. “The education system can have a positive impact in many areas, from fostering an open-minded attitude toward the world in schools to harnessing the potential of international students by securing enrollment capacity and expanding support programs at universities.” As in the previous year, the study highlights all-day care as a strength in Saxony, the top-ranked state. According to the report, a particularly high proportion of children in the Free State receive all-day care at school or in daycare. Other positive aspects include particularly well-qualified daycare staff with few unskilled workers in Saxony and good results on school achievement tests. Saxony’s Minister of Education and Cultural Affairs, Conrad Clemens (CDU), is looking ahead. “Saxony cannot rest on its laurels. We plan to present an amendment to the school law before the end of this year,” he commented on the results. The goals include modern, data-driven school development, competency-based learning, networked instruction, and more media education. “Only if we continue to develop our education system and consistently implement our ‘Bildungsland 2030’ strategy will we remain at the top in education.” The Education and Science Union (GEW) warned against concluding that the results indicate a functioning education system. “The Education Monitor primarily reflects economic indicators of education and overlooks key conditions for quality education. PISA results and the situation in Saxony’s daycare centers and schools show that a top ranking is no reason to let our guard down,” the statement said. “The educational problems in Germany have long been apparent. Saxony is merely the one-eyed man among the blind,” emphasized GEW state chairman Burkhard Naumann. What is needed now are not further rankings, but political action. The 2027–28 biennial budget offers a crucial opportunity to do so. “Instead of cutting support and spreading the staff shortage through temporary assignments, Saxony must invest strategically where the need is greatest.” According to Naumann, the Education Monitor only measures what education contributes to the economy—but not the conditions under which education takes place. “The fact that Saxony is once again ranked at the top is increasingly at odds with the reality in our daycare centers and schools. There, staff members face daily staff shortages, massive staff reassignments, rising workloads, and a lack of support for children with special needs. A ranking cannot measure this reality away.” Copyright 2026, dpa (www.dpa.de). All rights reservedAssessment from an educational economics perspective
Negative Trends
What’s Going Right in Saxony
Minister of Education and Cultural Affairs: Saxony Cannot Rest on Its Laurels
GEW: Saxony Is the One-Eyed Man Among the Blind
The reality in daycare centers and schools doesn’t match its top ranking