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Economy warns of a hangover - DIW: "Prosperity is at stake"

2021-09-29T18:55:10.738Z


The general election is over. But it is open which parties will form the new government. Business associations urge quick decisions.


The general election is over.

But it is open which parties will form the new government.

Business associations urge quick decisions.

Berlin - Business associations have warned against a long government formation after the federal election.

All parties have to show responsibility, tackle priorities and forego "tactical maneuvers", said the President of the BDI industrial association, Siegfried Russwurm, on Monday.

In order to cope with challenges such as climate protection, digital change or geopolitical crises, you need administrative reform, faster planning and approval processes and a growth program.

The head of the Federal Association of Energy and Water Management, Kerstin Andreae, also demanded that there should not be a month-long hang-out.

"We need a coalition for climate protection and the energy transition as soon as possible."


Medium-sized businesses require investments

Crafts President Hans Peter Wollseifer said the only clear election result was that there were many coalition options. "Unfortunately, this raises concerns that it may take weeks before coalition negotiations lead to a result." That is exactly what must be avoided if the economic recovery is not to be slowed down. "In these uncertain times, a stuck game and a similarly long negotiation phase as in 2017 is the last thing our operations and companies need." but digitization cannot be delayed. "

The Federal Association of Medium-Sized Enterprises called for prospects for investments.

"In view of the poor economic data, Germany as a business location cannot once again tolerate coalition negotiations at slow pace," said Federal Managing Director Markus Jerger.


Germany needs clarity - and quick decisions

The SPD won the general election on Sunday and plans to appoint Olaf Scholz as Chancellor.

However, the second-placed Union under top candidate Armin Laschet also wants to speak to the FDP and the Greens.

After the 2017 election, such an alliance failed after weeks of talks.

It then took months for the Union and the SPD to agree on a new version of their coalition.

Angela Merkel was finally confirmed as Chancellor by the Bundestag almost six months after the election.

The president of the real estate association ZIA, Andreas Mattner, said with a view to the current result, Germany needs clarity.

“The stalemate is putting a strain on the economy as a whole and means waiting instead of action.

As a real estate industry, we need quick decisions on how we can achieve more residential construction and revitalization of the inner cities. ”The retail association HDE also insisted on strengthening the inner cities and relieving the burden on companies.


DIW boss Fratzscher warns: prosperity is at stake

The President of the Association of Family Entrepreneurs, Reinhold von Eben-Worlée, emphasized that it now depends on the Greens and the FDP. The next federal government must learn to understand the economy as a partner when it comes to sustainability, not as an opponent. The president of the foreign trade association BGA, Anton Börner, declared that it was a matter of combating climate change with “speed and a sense of proportion” and modernizing the business location.


There were also demands from economists to make decisions quickly.

The Federal Republic has never been so divided, said the President of the German Institute for Economic Research, Marcel Fratzscher.

"We now need speed and courage in forming a government." The new government must quickly decide on climate protection, digitization 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."

(Dpa)

Source: merkur

All news articles on 2021-09-29

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