A recent survey conducted by the Munich Ifo Institute indicates that a significant number of self-employed individuals in Germany currently see their livelihoods at risk. Specifically, 20.6% of the surveyed self-employed reported acute concerns about their economic future, a figure substantially higher than the corresponding rate for the overall economy (which stood at 8.1% in April).
According to Ifo expert Katrin Demmelhuber, the combination of a shortage of contracts and growing uncertainty is placing increasing pressure on independent workers. Nearly half of the respondents (48.4%) reported missing contracts in April, a slight increase from 46.6% recorded in January. This proportion is even higher among sole proprietors and small businesses, reaching 39.0%. Demmelhuber noted that many businesses are holding back on placing orders, while consumer sentiment remains subdued.
This strained situation is also reflected in the overall business atmosphere. The “Jimdo-Ifo Business Climate Index” plummeted from -20.8 points in March to -29.9 points in April, hitting a new low. The decline in expectations continues, and unfavorable assessments of the current economic situation were reported far more frequently. Furthermore, the uncertainty felt by the self-employed is increasing; 38.8% stated that they find it difficult to assess their future business development amid the current economic climate, compared to 36.4% in March.