ifo Media Center
The ifo Institute invites you to participate in the discussion of interesting economic topics via the Internet. In our ifo Media Center a whole series of remarkable events are available and can be viewed in full length. We also record selected speeches and presentations given by employees or at events and make them available in our Media Center.
Germans Work 17% of Their Working Hours from Home
Germans work 17% of their working hours from home, finds an ifo Institute survey. “However, barely half of all jobs are even compatible with remote working in the first place,” says ifo expert Jean-Victor Alipour. “Where it’s an option, employees work from home an average of 1.5 days a week.”
ifo Economic Forecast Autumn 2023: German Economy Continues to Cool
Price-adjusted gross domestic product will decline by 0.4% this year. In the next two years, economic output is expected to increase by 1.4% and 1.2%. The inflation rate will fall further from an average of 6.0% this year to 2.6% next year and 1.9% the year after.
Companies in Germany Expect Lower Prices
Inflation in Germany is likely to fall further. German companies’ price expectations for the coming months have declined somewhat, according to the ifo Institute’s Business Survey. They fell to 14.7 points in August, down from 16.3* points in July. “However, the decline in inflation will be a long, hard road,” says Timo Wollmershäuser, Head of Forecasts at ifo. Among retailers, for example, the balance of price expectations fell only from 34.9* to 33.5 points; in hospitality, from 47.8* to 46.6 points; and in the food and beverage trade, from 55.3* to 55.1 points.
Tuuli Tähtinen, PhD
Economist
Thomas Licht
Specialist
Geraldine Geneviève Künzli
Pre-Doctoral Student
Dorothee Hillrichs, Ph.D.
Economist
Harley Guswiler-Hoinka
Trainee
Business Climate in Germany’s Automotive Industry Continues to Deteriorate
Germany’s automotive industry views its current business situation as worse than in the previous month, according to the ifo Business Survey. The indicator fell to 12.7 points in August, down from 22.1 points* in July. “Sentiment has deteriorated most noticeably among automakers, while suppliers remain fairly satisfied with their current situation,” says Anita Wölfl, a specialist at the ifo Center for Industrial Organization and New Technologies.
ifo Business Climate Saxony Cools Down Further (August 2023)
Saxony’s business climate cooled slightly in August. The barometer of business sentiment in Saxony’s economy fell from 92.1 points in July to 90.8 points in August, marking the third month in a row to see a decrease. Compared with the previous month, the companies surveyed were noticeably less satisfied with their business situation. They also slightly reduced their business expectations.
ifo Business Climate Eastern Germany Cools Slightly (August 2023)
The ifo Business Climate Index Eastern Germany saw a small decline in August. The barometer of business sentiment for the entire regional economy slipped to 90.4 points, down from 91.5 points in July. The eastern German companies surveyed were noticeably less satisfied with their current business situation, but did not change their business expectations for the coming months.
ifo Education Survey 2023: What Germans Think about the Quality of Schools
How do the Germans grade the schools in their federal state? Where do they see serious problems in the school system? And what solutions do they prefer - for example, for teacher shortage? The ifo Education Survey 2023 examines these and other questions.
ifo Employment Barometer Sees a Minimal Decline (August 2023)
The willingness among companies in Germany to hire new staff has slightly decreased. The ifo Employment Barometer fell to 97.0 points in August, down from 97.1 points in July. “At the moment, plans for layoffs and hires are just balancing each other out,” says Klaus Wohlrabe, Head of Surveys at ifo. “Because of the economic downturn, many companies are holding back on hiring.”
ifo Export Expectations Dip Slightly (August 2023)
Sentiment in the German export industry has deteriorated slightly. The ifo Export Expectations fell to -6.3 points in August, down from -6.0 points in July. “German exporters continue to struggle with weak global demand,” says Klaus Wohlrabe, Head of Surveys at ifo. “More and more companies are also complaining about being less able to compete at the global level.”
ifo Business Climate Index Falls (August 2023)
Sentiment among German managers has darkened further. The ifo Business Climate Index slipped to 85.7 points in August, down from 87.4 points in July. This is its fourth consecutive fall. Assessments of the current situation fell to their lowest level since August 2020. Moreover, companies are increasingly pessimistic about the months ahead. The German economy is not out of the woods yet.
Competitiveness of German Manufacturers of Machinery and Equipment Deteriorates
In the competition for market share, German manufacturers of machinery and equipment find themselves in a worse position, finds an ifo Institute survey. “In sales markets outside the EU, German manufacturers of machinery and equipment are facing fiercer competition, especially from China,” says Nicolas Bunde, an industry expert at the ifo Institute. The survey score for competitiveness fell to -14.3 points, down from -7.3 in April.
Carina Haller
Junior Economist and Doctoral Student
New Record Low in Orders for German Residential Construction
The slump in residential construction in Germany continues. In July, 40.3% of companies complained of a lack of orders, up from 34.5% in June. A year ago, the proportion was 10.8%. These findings are from the ifo Institute’s latest survey. “A storm is brewing. Following many years of expansion, now higher interest rates and the drastic rise in construction costs are choking off new business,” says Klaus Wohlrabe, Head of Surveys at ifo.
Dr. Henning Hermes
Economist
Germany’s Shortage of Skilled Workers Worsens Slightly
More and more German companies are short of skilled workers, finds the latest ifo Business Survey of around 9,000 companies throughout Germany. According to the survey, 43.1% of firms reported suffering from a shortage of qualified workers in July, up from 42.2% in April 2023. “Despite a sluggish economy, many companies are still desperately searching for suitable employees,” says ifo expert Stefan Sauer. The all-time high of 49.7% was reached in July 2022.
