Germany’s competitiveness must become priority, finance minister says

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BERLIN (Reuters) – Germany’s economic competitiveness must become a political priority because citizens worry about their economic future and are looking towards political alternatives, Finance Minister Christian Lindner said on Monday.

“Germany needs a growth-oriented policy,” Lindner said at an event in Berlin, noting that the country is sliding down international competitiveness rankings, from 6th position a decade ago to 22nd in 2023.

The cabinet in July passed a package of measures that aims to rev up the economy and boost growth by more than half a percentage point in 2025.

The package is just a “first step,” Lindner said, but warned that corporate taxes and energy prices would still be too high after it passes, and that there will still be too much bureaucracy.

“No one is allowed to put their hands in their laps indefinitely afterwards,” Lindner said.

The package needs the approval of the upper and lower houses of parliament later this year, with opposition support.

“The growth initiative must be passed fast and without changes,” Lindner said. “We have already lost too much time.”