Record increase in the number of new startups in Germany

Ulrich Reuter, President of the German Savings Banks Association (DSGV), stated that the economic recovery that has begun in the country can alleviate the political polarization that became evident in the last state elections.

The German government increased its economic growth forecast for 2026 from 0.5 percent to 1.3 percent and its forecast for 2027 from 0.9 percent to 1.1 percent.

The long-standing economic stagnation in the country stood out as one of the problems that was effective in the significant gains of far-right and far-left parties in the regional elections held in September. The recovery in economic activities is expected to be a positive development for the government of Prime Minister Friedrich Merz.

Making statements within the scope of the International Monetary Fund (IMF) meetings held in Bangkok, Reuter said, "If people feel that they have a greater share of the growth we are currently observing, the tendency towards extremist parties will decrease somewhat."

The number of new startups broke a record in Germany

Reuter stated that one of the most positive indicators of the economic recovery is the strong increase in the number of newly established enterprises.

According to data from the German Ministry of Economy, more than 3 thousand new enterprises were established in the country in the first half of 2026. This number increased by 52 percent compared to the previous six-month period, reaching an all-time high.

"Investments in existing business models and the establishment of new companies form the basis of the future," Reuter said.

Loans given to companies increased by 5.8 percent

The amount of new loans approved by savings banks in Germany to companies and the self-employed in the first half of 2026 increased by 5.8 percent compared to the same period last year.

Reuter stated that the increase in loan volume shows that businesses are not only limited to renewing their existing equipment, but also started to re-focus on investments for the future.

Stating that he expects the rise in credit demand to continue for the next two years, Reuter emphasized that the reforms should proceed in the current direction and the process should not be slowed down for the sustainability of the economic recovery.