The Schalke ace did not make Joachim Low's 23-man squad, but nonetheless backs them to triumph in Poland and Ukraine, while he also fancies the Three Lions to make an impact
The midfielder missed out on Joachim Low's final 23-man squad, but insists he understands his omission from the party was due to the quality of competition at die Mannschaft's disposal, and for that reason backed his country to lift the trophy.
He told talkSPORT:“I was keen on going there [Euro 2012] but I had an injury in the winter which put me back a bit and there are a lot of young talented players in Germany right now.
“If you see who is in the squad and on the bench now like Marco Reus and [Mario] Gotze and Co. So it’s a pity that I am not there but I am keen on going to the World Cup, and with the under-21’s we have a European Championship coming up so I am not disappointed.
Holtby then proceeded to dismiss the significance of the 5-3 friendly defeat to Switzerland ahead of Germany's European campaign, as he is confident it will not have an adverse affect on the players once the championship begins.
"No, it is only a friendly and everyone comes from the season and the Bundesliga, the Champions League and the Europa League and I know how they feel," he continued.
"They’ve had many games to keep going on is hard but they will be prepared, Germany are a tournament team and they have so much quality, especially from the coaching staff, to prepare them for the first game against Portugal. I’m sure they will be first in the group."
Holtby also fancies England's chances at Euro 2012, saying that despite a host of injuries prior to the tournament, Roy Hodgson's team have a bright future and could surprise many with one or two of their younger players.
"Of course there is a lot of injuries," he said. "I always talked about it with my dad who was a big England fanatic, he said the England team was too old and that it needed some fresh blood.
"Now England have that and I think they have a bright future, with Danny Welbeck and players who have got so much talent and quality.
"I also think the players who have come from Chelsea can put that winning mentality back into the game. So I think England have a big chance of winning it even though the team is young have the injuries."
Germany face Portugal in their first game of Euro 2012, while England start against France.