Habeck, as the central problems of the companies, made up the “work and skilled work and skilled workers, the exuberant bureaucracy” and the “investment weakness”. “The bridges in the truest sense of the word are a warning picture for this,” he said. The most important program of the traffic light government, on the other hand, that the measures of the growth initiative could not have been implemented “to a large extent” due to the end of the coalition.
However, the current crisis is “the result of recent years, the past decades,” said Habeck. Basically, the economy has been stagnating for 15 years. For him that means that “established means” has no turn. In particular, “a reform of the debt brake” is needed.
In detail, the Federal Government in the annual economy report assumes that private consumption will suffer from the unsafe political situation at the beginning of the year, “but will take up speed from spring after the government formation”. “Overall, a moderate growth of consumption of 0.5 percent is expected compared to the previous year.”
The Federal Government expects impulses for industry, among other things, through the state special funds for the Bundeswehr. In contrast, it predicts a further decline in the building investments and exports are also likely to weaken. In addition to the United States, the report on China, which is made by a formerly important export destination in important segments such as vehicle and mechanical engineering, “also becomes a competitor with the help of state subsidies”.
In inflation, the government expects a rate of 2.2 percent in the current year. Although the inflation -damping basic effect is eliminated by the energy prices, the energy markets are currently not an increase in price, according to the annual report. However, the higher CO2 prize, postage of the Deutsche Post and the price increase for the Germany ticket would have a noticeable inflation-spreading.
According to an end to the increase in employment for years, the forecast on the labor market is to be expected: “A job structure in the field of social services should initially be offset by further reducing employment in the manufacturing industries.” Despite the shortage of skilled workers, unemployment is likely to increase by 120,000 people – because of a “qualifying misMatch between job offers and demand”.
The Union faction’s economic policy spokeswoman, Julia Klöckner (CDU), accused Habeck of leaving a “shard heap”. “The annual economic report is like a bad testimony to the traffic lights”. The FDP member of the Bundestag Christoph Meyer campaigned for a black and yellow federal government that would provide “less tax, less bureaucracy and more freedom for innovation and entrepreneurship”.
“The German economy urgently needs an economic political restart with a clear focus on investments and growth,” said the President of the German Chamber of Commerce and Industry, Peter Adrian. Germany has “excellent specialists” and “innovative and creative companies”. He hoped that this potential could be used with the “right course positions after the Bundestag election”.
In front of the Brandenburg Gate in Berlin, around 450 people demonstrated on Wednesday for an “economic turn”. Entrepreneurs and employers’ associations had called for the rally. They call for reduction in bureaucracy, the reduction of social security contributions and taxes as well as an infrastructure offensive. FDP and Union politicians such as FDP boss Christian Lindner and CDU general secretary Carsten Linnemann took part in the demonstration.