Federal Businesses Express Skepticism Towards the Investment Strategy of the Federal Government, According to a Recent Survey
In June 2025, a comprehensive survey involving over 480 companies from various sectors revealed their concerns and expectations regarding the Innovation Booster, a tax-based investment stimulus program aimed at strengthening Germany's economic competitiveness.
German firms expect the program to provide tailored, long-term assistance that helps companies grow beyond local markets and expand internationally, especially into Germany and major European markets. This includes access to expert networks, funding opportunities, and hands-on help with customer acquisition and market entry.
The Innovation Booster aims to support companies developing deep technologies addressing major issues such as climate change, healthcare, and energy. German companies seek that this focus continues, enabling solutions with strong long-term potential and high societal impact.
There is an expectation that companies demonstrate funding readiness, real customer interest, and gender balance in leadership, reflecting a commitment to inclusive innovation inline with Horizon Europe and EIT standards. Transparency, clear documentation in English, and exclusion of entities connected to Russia or Belarus are also important.
Industry representatives emphasize that the program should promote various financing models, including leasing, to boost economic impact effectively. German stakeholders also see value in linking with regional innovation centers and startup ecosystems that create a structured environment from research to global scaling supported by substantial federal funding and industry cooperation.
The survey results indicate that skepticism also prevails regarding the program's implementation, with more than 70% seeing significant or fundamental implementation problems. Almost every fifth company considers the program rather insufficient, while 32% mention resistance from states or civil society as a criticism.
Uncertainty remains as only around 8% of respondents find the measures sufficient to sustainably strengthen Germany's economic development. Financial risks such as budget shifts or future austerity measures pose uncertainties for a quarter of companies. 30% of companies highlight a cumbersome administration as a criticism.
To strengthen trust in the German location, Liebold emphasizes that decision-making processes must become significantly more efficient. Companies are particularly hoping for a reduction in bureaucratic and tax burdens. Every second company expects a more favorable energy supply, and 53% of companies cite skills shortages as a criticism of the program.
This year, expenditures of around 37 billion euros are planned, including for electric mobility. 48% of companies express concerns about unclear priorities in the program. 66% of companies expect a reduction in bureaucratic burden in administration and approval.
In summary, German companies expect the Innovation Booster to deliver customized, inclusive, and growth-oriented support focusing on deep technology with clear societal benefits. The program’s success depends on maintaining these standards, fostering effective financing schemes, and linking regional innovation ecosystems to maximize scale and market penetration across Europe, including Germany.
- The Innovation Booster should offer financing options such as leasing to provide increased economic impact, as perceived by German firms.
- To achieve sustained growth and societal impact, German companies believe the Innovation Booster must continue to support businesses developing deep technologies, with a focus on sectors like climate change, healthcare, and energy.
