Wednesday, January 27, 2016

Gabriel puts the annual economic report – THE WORLD

how tense the situation in the federal government is currently settled on Wednesday at the face of Sigmar Gabriel (SPD) read. He wanted to get rid of yet something fundamental, the Vice Chancellor said during the presentation of the annual economic report. “We must stop giving the impression that we are in a national crisis and had lost control of the country at last.” There is no reason at all, “conjure constitutional crisis” an account of the refugee crisis.

This debate serves only to “uncertainty profiteers on the right side,” said Gabriel. The grand coalition was fully operational in the refugee policy. “There are in the Federal Government also no dispute. There is a dispute between the CDU and CSU.”

When a reporter inquired if it then would Germany better when CSU chief Horst Seehofer would no longer, looked Gabriel when he would eat the same asker. “Given the location I lack the humor of such issues.”

Because of the refugee crisis came the annual economic report, a kind of economic creed of the government, almost a minor matter. Here Gabriel wanted to send a clear message with the report actually: There is no need to panic, Germany is doing well. “The annual economic report shows how good and stable, the situation is,” said Gabriel. “The rest of Europe envies us to our jobs miracle.”

The BDI is more optimistic

The figures, who have been the day before being made public, prove it. Germany is growing, according to annual economic report this year by 1.7 percent. Thus, the federal government is still relatively cautious. The Federation of German Industries (BDI) says at least an increase of 1.9 percent for this year and beyond.

The employment is loud Gabriels officials this year the threshold of 43 million exceed – new record. The number of job seekers will not rise despite refugee crisis.

Photo: Infographics World Germany’s economy will grow next year

Like last year, the unemployment rate should fall this year at 6.4 percent, expected the federal government. “Unemployment is at its lowest level since reunification,” the report says.

But Gabriel is far from falling into euphoria. Because the German economy is driven by a number of special factors: the favorable exchange rate, low interest rates, the cheap price of oil.

“Given these special factors are not exuberant growth of 1.7 percent. This is an average,” said Gabriel. “The concerns that I’m are, whether we can extrapolate the economic success in the next decade. We live on the substance.”

investment is too weak

Gabriel has good reasons cause for concern that the current positive economic situation could not be permanent. Thus the public and private investment through weak for many years. For decades, cities and towns have propped a large proportion of government investment. But their share of all public investment has fallen in recent years from about 50 to 36 percent.

The companies are holding back to modernize factories in Germany or to open new workshops. They prefer to invest abroad. The conditions in this country have become uncertain them.

Gabriel wants to break this ongoing now for over ten years trend. Government and business should invest additional annual 60 billion euros by 2025, ie a total of EUR 600 billion according to the will of Gabriel. But for the development of powerful Giganetzes for digital broadband need Germany until 2025 investments of 100 billion euros, said Gabriel.

federal highway society is controversial

In the annual economic report he lists further action on: local authorities are to receive counseling services in construction projects, private investors are more involved in infrastructure financing, “provided that it can be efficiently financed projects”. This is likely to meet with resistance in its own ranks, as the SPD parliamentary group rejects such a public-private-partnerships (PPP).

The planned federal highway society emerged in the annual economic report, surprisingly, no longer on. The reform is a heartfelt concern of Gabriel and Finance Minister Wolfgang Schäuble (CDU). By Society highways are planned from a single source and the federal small-small to be terminated.

However, defends itself Transport Minister Alexander Dobrindt (CSU) against plans Gabriels and Schäuble to bundle all trunk roads in such a society. Dobrindt gets pressure from its own ranks, the CSU rejects a federal trunk road company. The resistance in CSU and SPD against Gabriel’s plans shows that there is still a bumpy road for the Minister to strengthen the investment potential of Germany



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