Despite the war in Ukraine, significantly fewer East German companies fear for their existence than at the beginning of the year. In a survey by the Dresden Ifo Institute in April, 6.2 percent of the participating companies stated that their existence was in jeopardy, as the institute announced on Tuesday. This halved the number compared to a survey from January (13.9 percent).
“This is good news. The lifting of the corona restrictions is helping companies,” said Joachim Ragnitz, deputy head of the Dresden branch of the Ifo Institute. “On the other hand, the Russian attack on Ukraine and the associated economic upheavals do not seem to be a threat to the company’s existence at the moment.”
Companies in manufacturing (7.8 percent) and wholesale (7.2 percent) were particularly at risk in April. “The consequences of the war are likely to have a strong impact on some companies. Russian gas and oil imports traditionally play an important role in East German industry,” said Ragnitz. Companies from the main construction trades and the service sector (5.4 percent each) expressed existential concerns least frequently. (dpa)