Saxony’s Minister-President, Michael Kretschmer (CDU), has stated that the decisions made by the black-and-red coalition in Berlin are insufficient to overcome Germany’s current economic weaknesses. While acknowledging that the steps taken constitute a move in the right direction, Kretschmer told the “Welt” newspaper that Germany is still “very far away” from a comprehensive action package that promises a genuine recovery.
Kretschmer called for fundamental changes across several fronts: energy policy, climate protection measures, and the relationship between citizens and the state. He noted that the discussions held with the SPD and labor unions suggest a lack of recognition regarding how sharply Germany’s economy has been declining. Although some progress has been made, he emphasized that “we all must insist that much more is needed.”
According to Kretschmer, the coalition’s primary focus has been adapting state benefits to shrink in line with declining economic strength and falling tax revenues. Crucially, he argued that a foundational reform-one that could truly make Germany competitive again and restore its status as an export powerhouse-has not been initiated. He stressed that political decisions must be faster and clearer, demanding that the momentum of the crisis be matched by the dynamism of effective political action, noting that businesses require rapid movement, as do government bodies.
Furthermore, Kretschmer highlighted the severe impact on industrial jobs and the relocation of production. “We are losing 100,000 industrial jobs every year,” he stated, adding that more and more companies are moving production and jobs abroad. In such a situation, he questioned the ongoing focus in Brussels on supply chain acts or deforestation regulations. Instead of introducing new directives, “what is needed is a path of freedom-less regulation in Berlin and in Brussels.” He believes the coalition’s current measures are far from addressing this core issue.
Finally, Kretschmer offered a critical assessment of proposed increases in taxes and levies, labeling them an “approach of passive recovery.” He argued that the debate is focused on merely “patching holes” rather than discussing growth, generating new dynamic energy, increasing tax revenue, or fostering employment. He criticized the finance ministry’s attempt to capitalize on the current situation merely to boost income, calling it “the wrong path” because it fails to move Germany out of its weakness in growth.
