Fewer German companies feel threatened than during pandemic – Ifo

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FILE PHOTO: The sun sets behind the skyline of Frankfurt

BERLIN (Reuters) – Far fewer German businesses feel their survival is at risk now than at the height of the COVID-19 pandemic, a survey by economic institute Ifo showed on Monday.

The survey of some 7,000 businesses, conducted from Oct. 4 to 24, showed 7.5% felt their economic survival is threatened.

“At the height of the pandemic, these numbers were much higher, at 21.8 percent. In the face of a sharp economic slowdown, companies are proving to be very robust,” Klaus Wohlrabe, head of surveys at Ifo, said in a statement.

However, he added that in the retail sector, 11.6% of companies reported a situation that threatens their survival.

“The current rate of inflation is a major concern for retailers,” Wohlrabe added.

German consumer prices, harmonised to compare with other European Union countries, were up 11.6% on the year and rose by 1.1% month-on-month in October, preliminary data from the Federal Statistics Office showed on Friday.

Separately, the number of larger businesses started between January and August 2022 fell 6.6% compared with the same period a year earlier, the Federal Statistics Office reported.

The number of small business start-ups was 5.6% above the previous year’s level, it added.

(Writing by Paul Carrel, Editing by Miranda Murray)

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