Economist and Siemens-Energy supervisory board member Veronika Grimm has criticized CDU leader Friedrich Merz for presenting an overly optimistic view of Germany’s economy. Speaking to “Redaktionsnetzwerk Deutschland” (Saturday edition), she dismissed the notion that problems can simply be ignored or overcome by maintaining positive thinking, arguing that this approach is misguided.
Grimm’s comments were a direct response to Merz’s statement urging Germans to shake off widespread dissatisfaction. She insisted that fundamental structural issues persist. She noted that nearly a third of the national budget is supported by further debt, a figure that will continue to climb unless decisive action is taken; thus, platitudes offer no real solution.
Instead, Grimm advocates for comprehensive reforms. While she acknowledged that certain minor steps, such as introducing a sugar tax, might sound plausible initially, she stressed that these measures are insufficient. The economic outlet noted her concern that the government is being overly cautious and timid in its approach.
She called for a commitment to a lower national debt ratio coupled with serious reforms. Furthermore, Grimm argued that some of the government’s current initiatives are actually detrimental to growth. The publication also raised her call to abolish the maternity benefit while keeping the retirement age at 63, along with demanding a revamp of the widow’s pension system. Regarding the labor market, she stated that softening termination protection is the correct direction, but suggested the proposed earnings threshold should be set lower than the current figure of €177,000.
