For businesses, the most important factor has always been the impact on them directly, Melnikov clarified during the MiMa interview regarding the Relief Cabinet's results. And up until now, over the past years—if not decades—it's been nothing but bureaucracy. "This relief is more necessary now than ever," stated the DIHK Chief Executive Officer. The Federal Government has now truly shifted into first gear – this momentum must be maintained to move towards reducing bureaucracy.

Reversal of the burden of proof must work practically

Melnikov cited the proposed reversal of the burden of proof regarding the necessity of regulations as a "decisive point." In future, the administration must prove why a requirement is truly necessary, rather than businesses. "However, we need to be very cautious moving forward," she warned—the corresponding evidence must be compelling, and it shouldn't suffice for any justification to maintain a regulation. Therefore, businesses want to remain closely involved in these developments, explained Melnikov.

Many reporting obligations can be justified immediately and easily, she clarified. Yet, the current "tight, restrictive corset that we gradually tailored for ourselves during times of better economic conditions" costs Germany 146 billion euros annually in economic performance. Getting out of this now seems unfeasible—"and we haven't had any significant economic growth since 2019." 

Bureaucracy costs three percent in economic output

If all people employed in bureaucracy were allocated to areas where they are truly needed, "then we could increase our GDP by three percent," mentioned the DIHK Chief Executive Officer. What businesses need is for policymakers to grant them more responsibility and freedom to operate. This entails freedom over control, which we deeply desire."

The full discussion from July 15 is available as a video to watch and listen to on ZDF’s website (in German only).