
erhöhen
to increase
To raise something in its amount, value, intensity, or degree; to make it larger.
Das Unternehmen wird die Gehälter um drei Prozent erhöhen.
The company will increase salaries by three percent.
to increase
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to increase
To raise something in its amount, value, intensity, or degree; to make it larger.
Das Unternehmen wird die Gehälter um drei Prozent erhöhen.
The company will increase salaries by three percent.

to increase
To rise, grow, or become larger.
Die Nachfrage nach Elektroautos hat sich in den letzten Jahren stark erhöht.
Demand for electric cars has increased sharply in recent years.

to raise
To physically bring or build something to a higher position.
Der Deich wurde erhöht, um besseren Schutz vor Hochwasser zu bieten.
The dike was raised to provide better protection against flooding.
The verb is derived from the adjective 'hoch' (high). The inseparable prefix 'er-' often expresses that a state is reached or an action is carried out successfully. So 'erhöhen' (to increase/raise) literally means 'to make higher'.
Die Stadt plant, den Lärmschutzwall zu erhöhen.
The city is planning to raise the noise barrier.
'Erhöhen' (to increase/raise) can be used transitively or reflexively. When a person or institution actively makes something larger, you say 'jemand erhöht etwas' (someone increases something). When something rises on its own, you say 'etwas erhöht sich' (something increases).
Die Zentralbank erhöht den Leitzins.
The central bank is raising the key interest rate.
If you want to state the exact amount of the increase, use the preposition 'um' followed by an accusative. This pattern is very common.
Der Vermieter hat die Miete um 50 Euro erhöht.
The landlord increased the rent by 50 euros.
You can tell whether a physical or an abstract increase is meant from the object. Abstract nouns like 'Preise' (prices), 'Gehälter' (salaries), or 'Geschwindigkeit' (speed) point to the figurative meaning, while concrete nouns like 'Mauer' (wall) or 'Deich' (dike) suggest the literal meaning.
Der Hersteller hat die Preise für alle Modelle erhöht.
The manufacturer has increased the prices for all models.
to grow / to wax
Erhöhen and wachsen can both express an increase, for example in a number. Sich erhöhen usually describes a value or amount going up, while wachsen makes the process sound more general and natural. Use erhöhen mainly with measurable values and wachsen for an increase that develops over time.

Die Stadt will die Zahl der Kita-Plätze in den nächsten Jahren erhöhen.
The city wants to increase the number of daycare places over the next few years.
Die Zahl der Kita-Plätze wächst in den nächsten Jahren langsam.
The number of daycare places will grow slowly over the next few years.