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Posters by the SPD, the Left and the Greens: These three parties do not come together to a majority
Photo: Arnulf Hettrich / imago images / Arnulf Hettrich
After the general election, Germany could also break new ground in terms of economic policy.
The SPD is ahead, but it is becoming difficult to form a government, as several coalitions are possible.
Market observers and economists draw mixed conclusions.
“It will probably not be enough for a red-red-green coalition, so an extreme restructuring of economic policy in Germany is not to be expected.
From an economic point of view, this is initially good news, «said Gabriel Felbermayr, the outgoing President of the Kiel Institute for the World Economy.
In view of the difficult formation of a government, Felbermayr warned: "Whether traffic lights, Jamaica or minority government: You have to expect that the future government will be relatively weak because ideologically very differently positioned parties have to agree on a program." A prolonged paralysis and political Uncertainty meant nothing good economically.
Fratzscher urges courage to change
Several bank economists also expressed relief that a left coalition is mathematically impossible.
Jens-Oliver Niklasch from LBBW said: "From a market perspective, it should be good news." The remaining possible government parties, on the other hand, "do not differ so much in economic and financial issues that compromises become impossible," he said.
The Commerzbank chief economist Jörg Krämer emphasized the strengthening of the negotiating position of the FDP through the election result, an economic left swing off the table.
Since the Greens were able to improve their results at the same time, he considers a market-economy reform program to be unlikely overall.
"There is no sign of a turnaround in economic policy."
Accordingly, the result of the Bundestag election initially had no visible effects on the bond market.
German government bonds came out of the election weekend with moderate price gains on Monday.
The President of the German Institute for Economic Research (DIW) Marcel Fratzscher called on a new federal government to quickly make groundbreaking decisions on climate protection, digital transformation and social renewal.
"If you fail to do this, Germany's economic prosperity will be at stake and Europe will run the risk of falling behind in the systemic competition with China and the USA."
Germany, according to Fratzscher, is “facing the most difficult challenges in a long time”.
In order to cope with the challenges, "finally more courage to change" is needed.
"This includes standing up to the powerful interest groups and overcoming the greatest hurdle for reforms - preserving the vested interests in Germany."
apr / Reuters