Business · Companies · 2 hrs ago
Germany woos investors as bureaucracy and policy concerns weigh
Chancellor Friedrich Merz invited nearly 200 international investors to Berlin for Germany’s first investment summit, seeking to attract more business.
Germany has major strengths, including the world’s third-largest economy, a top credit rating and strong research and development.
But bureaucracy, high production costs and fragmented local administration make it harder to build projects and run businesses.
Investors also point to high energy costs, slow electricity connections and uncertainty over government policy.
The government plans reforms, including easing borrowing limits to fund investment and simplifying administrative procedures.
Companies remain unsure the government will deliver, and Roche said it would freeze investment in Germany because of health-system reforms.
The rise of the far-right AfD adds to investor concerns about political stability.
Germany held its first investment summit to attract international companies and investors.
Nearly 200 major international investors were invited to Berlin by Chancellor Friedrich Merz.
Investors see opportunities in Germany’s economy but cite bureaucracy, high production costs, energy policy uncertainty and political concerns.
The government has promised reforms, including simpler administrative procedures and more public investment.
Some investors remain sceptical about whether the government can deliver its reform plans.
- Who
- Chancellor Friedrich Merz and the German government invited nearly 200 international investors and business leaders.
- What
- Germany held an investment summit to promote the country as a place to invest.
- When
- The summit took place over two days, Monday and Tuesday; the articles were published on October 18 and 20, 2026.
- Where
- Berlin, Germany.
- Why
- The government aimed to attract investment and strengthen confidence in Germany as a business location.
German government and summit supporters
Critical business leaders and investors
Purpose of the summit
German government and summit supporters
The summit sends a signal that investment is welcome and highlights opportunities to modernise the economy and infrastructure.
Critical business leaders and investors
Business leaders say policy uncertainty, bureaucracy, high costs and proposed health-care savings weigh on investment decisions.
Reforms and policy
German government and summit supporters
The government promises reforms, including simpler administrative procedures and more public investment.
Critical business leaders and investors
Critics question whether the government can deliver reforms, while some energy laws remain outstanding.
The German government invited domestic and international companies to the “Invest in Germany” summit in Berlin.
Roche announced that it was freezing its investments in Germany because of a health-care reform.
- International investors
- Nearly 200
- Summit location
- Berlin
- German municipalities
- About 11,000
- Municipal public services
- About 800
- Estimated annual production losses from bureaucracy
- Up to €146 billion
- Roche investment decision
- Froze investments in Germany, citing a health-care reform
4 sources
Germany's Merz touts defence, AI and chip investment drive in pitch to investors
Troisième économie mondiale, triple A... Sur le papier l'Allemagne a tout pour plaire, mais dans les faits la bureaucratie, les coûts de production et la montée de l'extrême droite refroidissent les investisseurs
Standort in Gefahr: Absagen für den Investitionsgipfel: Unternehmenschefs kritisieren deutsche Industriepolitik
What people are saying
Germany has the historic opportunity to make its infrastructure a competitive advantage again. After two decades of insufficient public investment, the need to catch up is considerable.
Germany’s industrial location offers major investment opportunities, particularly in scaling and modernising the economy. The ‘Invest in Germany Summit’ sends an important signal.
Interest in Germany is always accompanied by a certain scepticism about the government’s ability to deliver on its reform commitments.