• Investing
  • Stock
  • Editor’s Pick
  • Economy
The Significant Deals
Editor's Pick

Germany’s Habeck lays out plan to boost economy, calls for investment fund

by October 23, 2024
written by October 23, 2024

BERLIN (Reuters) – German Economy Minister Robert Habeck wants to remedy weak growth in Europe’s largest economy with a debt-financed investment fund and change course on its budget policy, according to a 14-page position paper released on Wednesday.

Creating a climate-neutral modern industrial future requires massive investment, both public and private, which is being held back by Germany’s restrictive budgetary policy, said the paper.

The International Monetary Fund (IMF) this week significantly downgraded its forecasts for Germany. No other major industrialized country is currently weakening as much.

“There is too little leeway in the budget to enable private and public investment on a significantly larger scale than today,” said Habeck, placing blame on the country’s constitutionally enshrined cap on spending.

To remedy this, Habeck wants to introduce a multibillion-euro “Germany Fund” to modernise infrastructure and provide an “unbureaucratic” investment premium of 10% for all companies.

The proposed fund would focus in particular on small and medium-sized enterprises, large corporations and start-ups.

The investment premium would be offset against the company’s tax liability. Unlike a simple improvement in writeoffs, companies that to do not make a profit at all, such as newly founded ones, would also receive the premium, wrote Habeck.

In the paper, Habeck also advocates for reduced bureaucracy, simpler and faster government procedures and the necessity of subsidies for more climate protection.

This post appeared first on investing.com
0 comment
0
FacebookTwitterPinterestEmail

previous post
Most investors still trust Trump. But do they prefer Harris to Biden?
next post
Bank of Canada likely to reduce benchmark borrowing costs by 50 bps

You may also like

China central bank conducts 1.7 trln yuan of...

January 27, 2025

Fuji Media, rocked by sexual misconduct allegations, says...

January 27, 2025

ECB president fears loss of central bank independence

January 27, 2025

European tech shares tumble as China’s AI push...

January 27, 2025

Futures slip as investors eye China’s latest AI...

January 27, 2025

Markets may be repeating the mistake of 2019,...

January 27, 2025

How billionaire Caltagirone could influence Italy’s banking M&A...

January 27, 2025

How Italy’s MPS went from near collapse to...

January 27, 2025

Analysis-To weather Trump, emerging market investors look to...

January 27, 2025

Chinese AI startup DeepSeek overtakes ChatGPT on Apple...

January 27, 2025
Fill Out & Get More Relevant News








    Stay ahead of the market and unlock exclusive trading insights & timely news. We value your privacy - your information is secure, and you can unsubscribe anytime. Gain an edge with hand-picked trading opportunities, stay informed with market-moving updates, and learn from expert tips & strategies.

    Recent Posts

    • Divided Fed proposes rule to ease capital requirements for big Wall Street banks

      June 26, 2025
    • Women’s Tennis Association extends media rights deal with Tennis Channel through 2032

      June 26, 2025
    • Bumble shares jump 26% as dating company plans to axe 30% of workforce

      June 26, 2025
    • Small-business AI use is lagging, but one firm is channeling Sherlock Holmes and knocking out ‘grunt work’

      June 25, 2025

    Categories

    • Economy (245)
    • Editor's Pick (3,646)
    • Investing (534)
    • Stock (6,426)

    Latest News

    • Divided Fed proposes rule to ease capital requirements for big Wall Street banks
    • Women’s Tennis Association extends media rights deal with Tennis Channel through 2032

    Popular News

    • Sanjay Malhotra appointed as RBI governor
    • Amazon is stepping up to fill a gap in Hollywood’s movie slate

    About The Significant deals

    • Privacy Policy
    • Terms & Conditions

    Copyright © 2025 thesignificantdeals.com | All Rights Reserved

    The Significant Deals
    • Investing
    • Stock
    • Editor’s Pick
    • Economy