Das Mannheimer Barockschloss und der Ehrenhof unter blauem Himmel.

GBP Monitor October: Companies in Eastern Germany Are Particularly Critical of Economic Policy—Dissatisfied Companies Invest Less

Only 13 percent of companies are satisfied with the federal government’s economic policy or view it neutrally. Dissatisfaction has risen particularly sharply in the three states where new state legislatures were elected in September. Companies whose representatives view economic policy critically are also reporting declining profits and investments and are more likely to plan cost-cutting measures. This is shown by the October survey conducted by the German Business Panel (GBP) at the University of Mannheim.

Since June 2025, satisfaction with the federal government’s economic policy has dropped significantly. One month after the new government took office, 32 percent of the business representatives surveyed were still satisfied. Now, that figure has fallen to just 13 percent. The last time economic policy was evaluated this poorly was after the collapse of the “traffic light” coalition. The October survey by the German Business Panel examines how dissatisfaction with economic policy relates to regional and political differences, as well as to the economic situation of businesses.

Dissatisfaction with Economic Policy Particularly High in Eastern Germany
Especially in federal states where the AfD, BSW, and Die Linke achieve higher poll numbers, companies are, on average, more dissatisfied with economic policy. This correlation is primarily due to regional differences: In the eastern German states, where these parties achieve higher poll numbers, dissatisfaction with economic policy is greater than in the other states.

However, this is not true without exception. In addition to Saxony (1.7) and Thuringia (1.9), the Saarland (1.8)—a western German state—is also among the states with the lowest evaluations on a scale of 0 to 10. Baden-Württemberg (2.1) also scores only as high as Mecklenburg-Western Pomerania and Brandenburg. Both of these western states are currently undergoing similarly profound structural change.

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