18-05-2025
East German leader demands action from Berlin on reviving economy
The state premier of Mecklenburg-Vorpommern has called on the new government of German Chancellor Friedrich Merz to take decisive action to kick start the sluggish economy.
"No economic growth for the third year in a row – that's not acceptable," said Manuela Schwesig, of the centre-left Social Democrats, at the opening of the annual East German Economic Forum, this time in the town of Bad Saarow.
Schwesig identified lower energy prices, increased investment and reduced bureaucracy as key priorities, emphasizing that getting Europe's biggest economy back on track should the top political goal.
In addition to permanently offering affordable energy for both businesses and consumers, she urged the federal government to introduce "fair grid fees that reward regions investing in renewable energy rather than penalising them."
At the three-day conference, business leaders are to discuss the challenges facing eastern Germany as a business location with members of Merz's new conservative-led coalition government.
Companies have long complained about high energy costs, a shortage of skilled workers, heavy tax and social security burdens and excessive bureaucracy.
