Germany

In Berlin, talk of the political situation in France ranges from real concern about Germany’s most important European partner to contempt at what is seen as a French ‘incapacity’ to reform. France’s failure to emulate the famous ‘German model’ is an all too frequent part of political conversations.

German companies are investing abroad like never before, making the country the world’s biggest foreign investor after the United States. German companies' direct investment abroad, average around €50 billion a year. Lack of sales growth in Germany and in Europe and in companies’ expectations for coming years, high production costs, especially high energy prices compared with the U.S. or emerging markets are factors encouraging German companies to invest abroad.