Despite persistent calls for structural reforms, Germany continues to attract significant foreign investment, according to Deutsche Bank CEO Christian Sewing. In an interview with “Handelsblatt”, Sewing expressed confidence in the enduring appeal of the German market, asserting that international investors remain keenly interested despite ongoing economic headwinds.
Sewing highlighted ongoing discussions with a non-European investor exploring a substantial commitment – exceeding one billion euros – in a fund specifically designed to finance projects within Germany. This prospective investment underscores the belief held within Deutsche Bank that Germany retains considerable allure for international capital.
Remarkably, Sewing observed a divergence between the national perception of Germany’s economic trajectory and the sentiment held by foreign entities. “Foreign investors and firms view what is happening in Germany more positively than we do ourselves” he stated, suggesting a potential disconnect between government messaging and the reality perceived by external stakeholders. This observation raises critical questions about the effectiveness of current communication strategies and the need for a more tangible demonstration of Germany’s reform agenda.
The debate surrounding pension reform, a particularly sensitive political issue, remains a key focal point. Sewing emphasized the urgency of reaching a sustainable solution by the years following 2031, balancing fiscal responsibility with intergenerational fairness. He stressed the necessity of laying the groundwork for this resolution as early as next year, while acknowledging the validity of arguments raised by younger members of the conservative CDU/CSU faction concerning the proposed pension package. The CEO’s implicit validation of these concerns could signal a potentially evolving stance within the banking sector regarding the government’s approach and may influence upcoming negotiations, adding another layer of complexity to the already fraught political landscape as Germany strives to meet its growth targets by 2026.