German business sector for the new government: You must move quickly

“The decisive matter for companies in Germany is for the new government alliance to be able to move quickly,” said Peter Adrian, head of the German Chamber of Commerce and Industry.
Adrian added that the third year in a row without achieving economic growth is an unbearable issue, and said: “As an economic sector, we now expect firmness and cohesion – and above all speed.”

Economic policy in Germany

Adrian pointed out that the coalition agreement already includes good trends to make a change in, an example of this by plans to reduce bureaucracy, amendments to tax policy, accelerate planning procedures and issue approvals.
Adrian saw that these measures should be decisively implemented. He also explained that immediate procedures such as improving the conditions of depreciation and rapidly reduce electricity tax to the minimum European can contribute to enhancing confidence.
Adrian indicated that it has passed about six months since the collapse of the “traffic light” government, and that Germany is going through the third year of.

Economic growth problems

Adrian stated that cases of uncertainty at the international level exacerbated the difficult situation, but he saw that the causes of German economic growth problems are largely due to internal factors.
Adrian concluded his remarks by saying: “This increases the need for the new government to make a strong start. We must eventually re -set Germany as an economic headquarters on the future path.”

Joachim Nagil, president of the German Central Bank, said that Germany is facing the threat of stagnation of the economy during the current year due to the repercussions of American customs duties, adding that Europe “in a rigid position, has offered the economy of the eurozone as a result of US President Donald Trump’s commercial policies.

The risk of stagnation in the economy in Germany

The results of the business surveys issued earlier in the day showed that the private sector activity in the euro area has almost stopped during the current month with a decrease in confidence, and the economic activity in Germany has shrunk unexpected.
The German Central Bank governor underestimated fears that increasing public spending will lead to high consumer prices, while explaining that a compromise should be reached on customs duties.
He expressed his optimism in the coming years, and added that the increase in public spending by the next German government will help to revive its economy, the largest in Europe.