Helena Melnikov_Reaktion
Reaction Translated from German with AI assistance

Strengthening Entrepreneurial Initiative!

Chief Executive Officer of the German Chamber of Commerce and Industry (DIHK), Helena Melnikov, on the annual report of the Council of Economic Experts.

11.11.2026 - “The Council of Economic Experts also anticipates only modest economic growth. For a sustainable upswing, conditions for private investment must improve significantly. High labour and energy costs, heavy tax burdens, and excessive bureaucracy are hindering companies' competitiveness. The Federal Government must now implement structural reforms that strengthen the location and provide businesses with reliable prospects again. Instead of a complicated system of investment subsidies and grants, which ultimately only aim to compensate for existing location disadvantages, we need better overall conditions for entrepreneurial activities. Then, investments will be worthwhile even without costly state support.

The economic experts rightly focus on budget development. The continuously rising debts are also causing great concern for businesses. According to the Federal Government's financial plan, 80 per cent of the budget will be tied up in social services, defence, and interest payments by 2030. This leaves little room for growth-relevant expenditures. Here, the Federal Government must take countermeasures. From the companies' perspective, the way forward involves growth-effective investments in transport, research and development, and the expansion of networks and data infrastructures.

Higher growth requires a reliable infrastructure. The special fund for infrastructure and climate neutrality should contribute to this. However, the urgently needed modernisation of the location will only succeed through additional investments and not merely by reallocating funds from the core budget. Moreover, faster planning and approval procedures are essential to quickly transform the allocated funds into reliable roads and railways.

Public investments must create the conditions for private investments, which are the foundation for sustainable growth. Structural reforms must significantly ease the burden on businesses and start-ups. Now, what's needed is a reliable economic policy course that offers innovations and investments a perspective and permanently improves companies' competitiveness."

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Key areas:
  • Growth
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It has been translated with the assistance of AI.
No guarantee is made as to the accuracy or completeness of the translation.

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Ehling, Sven_test

Sven Ehling

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