Germany could attract up to $4.6T in investment by 2035: Business initiative

By Mucahithan Avcioglu

ISTANBUL (AA) - Germany offers investment and financing potential of €2.9 trillion ($3.2 trillion) to €4.1 trillion ($4.6 trillion) through 2035 across five strategic growth areas, the Made for Germany business initiative said Monday.

The initiative, bringing together 147 companies and investors, published its report, titled Reinventing Growth, highlighting opportunities where Germany's industrial strengths align with global capital demand and economic transformation.

The five areas are artificial intelligence, industrial transformation and next-generation technologies, resilient energy systems, core infrastructure, and security and defense.

The report estimates investment opportunities of €400-600 billion in AI and €500-800 billion in industrial transformation and next-generation technologies.

Energy systems account for another €800 billion-€1 trillion, followed by core infrastructure at €700 billion-€1 trillion, and security and defense at €500-700 billion.

Aimed at domestic and international investors, the report identifies Germany's political and legal stability, research capabilities, skilled workforce, industrial base, and access to the EU single market as key advantages for attracting long-term capital.

However, high costs and excessive regulatory burdens continue to weigh on growth, the initiative said, urging policymakers to implement reforms consistently to unlock investment.

Initial reforms represent an important first step, but further action is needed to turn investor interest into concrete projects, it added.

Members of Made for Germany plan to invest more than €850 billion in the country between 2025 and 2028, including more than €200 billion already invested in 2025.

Deutsche Bank Chief Executive Christian Sewing and Siemens Chief Executive Roland Busch were scheduled to present the report to German Economy and Energy Minister Katherina Reiche in Berlin on Monday, ahead of the Invest in Germany Summit.

McKinsey & Company supported the initiative as a knowledge partner, providing expertise and analysis, while the report's conclusions and recommendations remain those of Made for Germany.

Mücahithan Avcıoğlu