Economic report from the IHK Kassel-Marburg: Dangerous mix is ​​putting a strain on the North Hesse economy (99 characters)

Economic report from the IHK Kassel-Marburg: Dangerous mix is ​​putting a strain on the North Hesse economy (99 characters)

In its economic report, the Kassel-Marburg Chamber of Commerce and Industry identified a worrying situation for the North Hesse economy. High costs, weak domestic demand and stalled external demand are described as a dangerous mix for the domestic economy. The economic climate index fell by 20.7 points to 85.5 compared to early summer. This decline is reflected in all sectors, with construction and wholesale trade being particularly pessimistic. Only the hospitality industry is surprisingly stable. The planned investments are declining significantly, although the motives for investments are currently primarily replacement needs and rationalization measures. The labor market is also cooling, although the shortage of skilled workers remains high. Export expectations have also fallen as geopolitical risks and high energy and raw material prices cause uncertainty in foreign business.

According to a report from www.hna.de, the economic report from the IHK Kassel-Marburg shows a tense situation for the North Hesse economy. This has negative effects on various areas.

One possible impact is a decline in investments in northern Hesse. According to the IHK survey, 35.9 percent of companies expect lower investment amounts. This can lead to a slowdown in economic growth and a reduction in jobs.

Furthermore, a cooling of the labor market is to be expected. Only 6.9 percent of the companies surveyed expect an increase in the number of employees. This can lead to stagnation or even a decline in employment figures.

The export market is also affected by the negative effects. Export expectations have continued to decline significantly. This is primarily due to geopolitical risks, high inflation rates and rising interest rates, which cause uncertainty in foreign business. The companies cite high energy and raw material prices as the main problem. One consequence of this could be a decline in exports, which weakens the competitiveness of companies in North Hesse.

It is becoming clear that the situation of the North Hesse economy is worrying and measures must be taken to support economic development in the region. In particular, reducing bureaucracy, securing skilled workers and energy policy are mentioned as possible areas of action.

Source: According to a report by www.hna.de