Coalition agreement: Not a signal of new beginnings, but more of a “Carry on as before!”

Important points are included, but a digitalization ministry is not: The Federal Association of German Startups (Startup Association) sees many of its demands addressed in the coalition agreement. However, it does not see any bold decisions for the future.

According to the Startup Association, the coalition agreement between the CDU, CSU and SPD follows the demands of the German startup industry in many respects, particularly with regard to the financing framework for startups and the reduction of bureaucracy, but also with regard to the further development of insolvency law and the enabling of genuine employee participation.

At the same time, the startup association criticizes the fact that no separate department has been created for the future topic of digitalization, which bundles all the competencies in this policy field.

Two major financing programs on the to-do list

Florian Nöll, Chairman of the Startup Association, is nevertheless positive:

"Before the coalition negotiations, we drew attention to the most important demands on politicians with a ten-point checklist. All ten demands are now reflected in the coalition agreement. In particular, the financing framework for startups is to be improved."

For example, a "large national digital fund" is to be established. Nöll explains:

"This digital fund will enable insurance companies and pension funds to invest in venture capital funds and thus in the dynamic German startup economy. Together with the Tech Growth Fund, which was already discussed in the last legislative period and is intended to provide startups in the growth phase with external capital in the form of venture debt, these are two major financing programs on the new federal government's to-do list."

Everything stays the same

Regarding the planned allocation of departments for the topic of digitalization, Nöll says:

"After months of discussion about a separate Ministry for Digitalization or a Minister of State for Digital Affairs in the Federal Chancellery, the decision has been made: Everything will stay the same. As satisfied as we are with the content, we are just as dissatisfied with the digital patchwork of the incoming federal government."

The Federal Ministry for Economic Affairs and Energy is to retain many of its digitalisation competencies, as are the Ministries of Transport, Justice, and the Interior. Nöll believes this is not a good sign for the next four years. He says:

“This is anything but a signal of change, but rather the government’s ‘Carry on like this!’”

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