South Hesse in the crisis: Entrepreneurs see little hope in 2025!

South Hesse in the crisis: Entrepreneurs see little hope in 2025!

The South Hessian economy continues to hide the storm of the recession. On February 5, 2025, the Chamber of Commerce and Industry (IHK) Darmstadt published the results of its current economic survey. The survey, which surveyed around 900 companies of all economic sectors in Darmstadt and the surrounding area, shows a dark picture. The majority of the entrepreneurs are dissatisfied with the current business situation.

According to the IHK general manager Robert Lippmann, the southern Hessian economy is "between hope and fear". Almost a third of the respondents see "little reason for hope". In particular, industrial companies report declines for orders and sales, while the construction industry suffers from the difficulties. In addition, retailers are disappointed with the results of the last Christmas business.

declines and mixed results

A look at the numbers underpins these assessments: The IHK business climate index has lost one point to 88 points compared to autumn. This is 12 points below the critical growth threshold of 100 points, which shows that serenity is crumbling in the business world. Only 20 percent of the companies judge their situation as good, while 54 percent they classify them as satisfactory and 26 percent as bad.

The future expectations are also not very encouraging. Only 13 percent of the companies surveyed expect the business situation to improve, while 56 percent think that the situation will not change. A worrying third of the companies fear a deterioration. This remains the balance of positive and negative expectations at minus 18 percentage points.

investment restraint and staff reduction

In addition, companies show reluctance to investments. Only 7 percent plan new hires, while 19 percent expect personnel loss. As a result of the tense liquidity situation, South Hesse has so far been spared an insolvency wave. The industry in domestic demand (67 percent), followed by the quality of economic policy (59 percent) and the development of labor costs (55 percent).

The results are mixed in the service sector. Here companies report a “side by side of shadows and light”. Mainstream also launched a catalog of demands for the Bundestag election 2025 in order to give the new federal government recommendations for action. These recommendations primarily concern the creation of stable, competitive framework and the reduction of bureaucratic hurdles.

at a time when the general economic situation in Germany has not stabilized, the South Hessian region remains affected. While other parts of Germany, as in the report of Tagesschau , signs of an improving mood in the economy remains the uncertainty in South Hesse. The survey analyzes show that companies must continue to expect a stagnating or even shrinking business. It remains to be seen how the next few months can break the indicated vicious circle.

This diverse information, which comes from the economic survey of the IHK Darmstadt, indicate that the South Hessian economy will tackle the challenges of the coming months with continued pessimism. While companies act reluctantly, the question remains when sustainable recovery will be in sight.

For a detailed analysis and current developments on the economic situation in South Hesse, the extensive examinations and reports of the IHK Darmstadt