DIHK Chief Executive Helena Melnikov: “The recovery must be more than a short-lived rebound”
According to DIHK Chief Executive Helena Melnikov, Germany's economic recovery is gaining some momentum, but it remains fragile and heavily dependent on public spending and export performance. Although more businesses report improved operating conditions, overall expectations for the next 12 months remain subdued, with many companies still anticipating worsening business conditions.
The report highlights several persistent challenges affecting German businesses, including high energy and raw material costs, burdensome bureaucracy, unfavorable economic framework conditions, and rising labor costs. While export-oriented industries have shown signs of recovery, investment and employment intentions remain weak, with many companies choosing to scale back spending and workforce expansion plans.
Melnikov stresses that sustainable growth will require bold structural reforms, competitive energy pricing, streamlined approval processes, reduced bureaucracy, and measures that encourage private sector investment and innovation. She emphasizes that the current recovery must evolve into a long-term economic transformation rather than a short-lived rebound driven by government support.
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