Austria on the abyss: How the decline in industry endangers our prosperity!

Austria on the abyss: How the decline in industry endangers our prosperity!

Laimgrubengasse 10, 1060 Wien, Österreich - Austria faces challenges in the economy that are worrying. Industrial production has dropped by 9.5 percent, the wage costs are increasing and unemployment increases. IV President Georg Knill warns that Austria, once an economic model in Europe, is facing a third year of recession if no determined reforms are taken. In his appeal to the new federal government, he calls for specific measures to promote growth and competitiveness. "Without courageous reforms, Austria threatens economic stagnation," said Knill. Optimistic approaches in the government program are available, but many points remain vague and unclear how the IV stated. In particular, there are no clear statements for companies, while stresses are mentioned in concrete terms, for example the energy crisis tax or bank tax.

initiatives for economic recovery

The Federal Government in Germany has presented a strategic plan with its growth initiative to give the German economy to improve. The initiative has the potential to generate additional 0.5 percentage points of growth, which corresponds to the economic output of a city like Leipzig. It pursues the goal of promoting investments in new facilities and productions, reducing bureaucracy and strengthening capital supply for companies. Tax relief for companies and the expansion of tax research funding have already been decided as positive measures. In addition, electricity taxes for companies are to be further reduced to relieve production.

Both governments are faced with the great challenge of stagnating or even damage to their economy. While the IV in Austria demands more clarity about relief for companies, the German federal government sees its growth initiative a way to improve competitiveness and at the same time secure social standards. It remains to be seen whether and how these measures are implemented in the respective countries and whether they will bring the hoped -for success. The impending economic stagnation in Austria could prove to be a warning signal through dynamic reforms and initiatives in Germany and encourage both countries to develop long -term solutions.

Knill and the IV are available to the new federal government as a partner, but emphasize that quick action is required. Both sides agree that wealth is at risk without clear strategic measures. More details on the growth initiative can be found on bundes- Government.de href = "https://www.ots.at/presseausendung/ots_20250304_ots0092/IV-Zu- Government program-wohn-wachstum-stum-stall" target = "_ blank"> ots.at is reported.