Germany's business community is frustrated and disillusioned one year after Merz took office

German Chancellor Friedrich Merz promised an ’economic turning point’, but one year later the business community expresses disappointment over lack of reforms.
Associations like BDI, DIHK and ZDH criticize the absence of structural reforms and a drop in business confidence to its lowest since the pandemic.
The economy is stagnating, bankruptcies are at a ten-year high, and the war in Iran and blockade of the Strait of Hormuz worsen the situation.
Merz acknowledges the dire mood but says changes cannot happen overnight and that the coalition with the SPD is the only option.
Despite promises, key reforms have not been implemented, and business leaders speak of ‘reform frustration’ and an ’existential threat’ to German industry.