Relations between Germany and Monaco have traditionally been friendly, as attested by the fact that one of the country’s 15 embassies can be found in Berlin.

Prince Albert II has been Head of State since May 2005. He is advised on important matters by the Crown Council, which is comprised of seven members appointed by him. The government is led by a Minister of State, who reports to the Prince. Minister of State Didier Guillaume, who had only been in office since 2 September 2024, passed away on 17 January 2025. Minister of Foreign Affairs and Cooperation Isabelle Berro-Amadeï is the acting Minister of State.

Parliament, which is elected for a five-year term in direct, general and free elections, only has limited parliamentary powers, while the Prince has the legislative initiative.

Monaco’s foreign policy scope expanded with the entry into force of the Friendship and Cooperation Treaty between Monaco and France on 15 February 2006. Under this Treaty, Monaco must only “coordinate adequately and regularly” with France on the basic tenets of its international relations. Since then, Monaco has been expanding its diplomatic relations with other countries.

Monaco maintains close relations with the EU. Since 2015, the EU has been negotiating with Monaco, San Marino and Andorra on an association agreement. In September 2023, however, representatives of the European Commission and Monaco agreed not to pursue the conclusion of the Association Agreement for the time being. An agreement between the EU and Monaco entered into force on 1 January 2017, with the aim of establishing an automatic exchange of information in order to improve adherence to tax regulations. The euro is the currency used in Monaco.

In 2023, Germany was Monaco’s second-largest export destination with a volume of 200.9 million euro, ahead of Switzerland and behind Italy. Monaco’s imports from Germany were worth 227.8 million euro in 2023, putting Germany in third place behind the Italy and UK and ahead of China. Monaco’s trade with France does not appear in its foreign trade statistics.

Sustainable development and environmental protection, in particular marine conservation, are priority issues for Monaco’s Head of State and Government. The environmental foundation Fondation Prince Albert II de Monaco was established by Prince Albert II in 2006. Its German branch „Freunde der Stiftung Fürst Albert II“ was founded in Düsseldorf in February 2009. The foundation supports projects aimed at protecting the environment, climate, biodiversity and water. Monaco is striving to establish itself as a pioneer in environmental and marine protection, including through high-level participation in international climate conferences (Prince Albert II attended COP28 in Dubai in December 2023). Monaco is hosting the Blue Economy and Finance Forum as part of the United Nations Oceans Conference, which will take place in Nice in June 2025.

According to the most recent estimate from December 2022, the population of Monaco is 39,050. Almost a quarter of the population holds Monegasque citizenship, while around three quarters of its inhabitants come from over 100 different countries, primarily France and Italy. Some two percent of the inhabitants are German.