Günter Mittag: The gravedigger of the GDR and his economic decline

Günter Mittag: The gravedigger of the GDR and his economic decline

Günter Mittag, born in Stettin in 1926, was Secretary for Economic Affairs in the Central Committee of the SED from 1962 to 1989 and is often referred to as the “gravedigger of the GDR”. His work is seen as a key figure in the country's economic decline. Mittag, who had been an active member of the SED since 1946 and received his doctorate in 1958 on the socialist organization of the railway system, played a central role in the development of the New Economic System (NÖS).

The NÖS was passed in the GDR on July 15, 1963 and had the aim of reforming the planned economy. It should introduce elements such as performance bonuses for workers and decentralization of operations. Despite a seven percent increase in labor productivity in 1964, the NÖS encountered resistance within the party because it weakened the power of the SED's central leadership. Walter Ulbricht supported the system, which therefore led to internal controversy, especially when Erich Honecker took power in 1971 and rolled back the reforms.

The break with Ulbricht

When Honecker came to power, there was a clear break with Ulbricht's reform course. Mittag, who was initially closely linked to Ulbricht, distanced himself from his ideas in order to secure his own position. The traditionalists in the SED favored a fixed command economy, and so the decentralization of the NÖS was pushed back. When Mittag returned to his old position in 1976, he used the structure of the Economic Commission as a tool of his power.

Under his leadership, decisions that had previously been the responsibility of ministers now had to be approved by central leadership. This led to increasing centralization characterized by a culture of fear. Midday manipulated data to maintain the appearance of economic growth. Despite his severe diabetes, he continued his work until the fall of 1989.

The decline and the consequences

On October 17, 1989, the day Honecker was deposed, Mittag tried in vain to save his position by switching sides. As a result, he was deposed and had to deal with the destruction of incriminating documents. He was arrested shortly afterwards and released in 1991. His death in 1994 left a legacy marked by contradictions.

In his book “At Any Cost,” Mittag portrayed himself as a warner and tried to shift the blame for the economic failure to others. However, critics, such as his former employee Günter Schürer, pointed out his personal responsibility. Nevertheless, Mittag was not the only person responsible for the economic collapse of the GDR; Honecker and other SED officials also contributed significantly to the destruction of the economy.