Hamburg is becoming the first German city to recognize Islamic holidays for its 150,000-strong Muslim community.
The decision, based on which Muslim employees and students can celebrate holidays at home, forms part of an agreement between the north German city and local Muslim groups, the Associated Press reported on Tuesday.
Muslims are going to celebrate the end of the holy fasting month of Ramadan in the weekend.
The city of two million people has already recognized the holidays of Christian and Jewish communities.
The mayor of Hamburg, Olaf Scholz, expressed hopes other German cities would follow suit.
Conservatives and far-right groups feel unhappy with the growing public presence of Islamic culture in Germany.
Police are on alert in Berlin for possible violence this weekend after a small far-right party announced plans to stage protests outside mosques in the German capital.