Berlin – It was an eventful year. Also for Daniel-Jan Girl (40). The new President of the Berlin Chamber of Commerce and Industry (IHK) took up office in troubled times. Corona continues to hit parts of the Berlin economy hard. After all: Girl is happy that Stephan Schwarz, an entrepreneur, has been appointed as the new Senator for Economic Affairs. In an interview with the Berliner Zeitung, Girl says how the capital’s economy is doing in this second pandemic winter, why the sudden repayment demands for corona aid overwhelm many companies – and what contribution the economy can make to solving Berlin’s problems.
Christoph Graefenstein
To person
Daniel-Jan Girl was born in 1980 in Berlin-Wilmersdorf. He completed an apprenticeship as a real estate and housing management clerk and later founded a company for digital customer loyalty systems. Girl has been a member of the general assembly of the Chamber of Commerce and Industry since 2004 – a body that represents the interests of Berlin’s economy vis-à-vis politics, administration and the general public. He has been a member of the IHK Presidium since 2017 and was elected its new President in September.
Mr. Girl, how is the Berlin economy doing at the end of this second year of the pandemic?
The economy is no different from society: We are very disappointed that the pandemic has not yet been defeated and that the Omicron variant makes us look to the future with concern. Despite everything, Berlin is doing well. That is also an achievement of the Berlin economy. The companies tested and vaccinated independently and did not wait for the politicians. All in all, we’re happy that things are still up and running. There are, however, major differences between the industries: While IT and pharmaceutical companies have benefited in some cases from the developments, the catering, tourism and event management sectors are still a long way from recovering from the restrictions. The situation there is still catastrophic.
The corona numbers are high and a fifth virus wave is looming. How big is the concern that Omikron will hold back economic recovery?
Of course, there is great concern that there could be another lockdown. Really everything must be done to prevent this from happening. We can only do this together by adhering to the applicable rules responsibly. And the more people vaccinated, the less chance the virus has.
Parts of the economy are currently in a paradoxical situation. The order books are full, but due to delivery problems and a lack of materials, the companies cannot ramp up production. What is the situation like at the Berlin companies?
Especially for companies that are dependent on imports and exports, there are considerable delivery delays, additional costs and planning uncertainty. The container prices for the worldwide movement of goods by sea have literally exploded. The planning challenges are enormous, as the flow of goods and services is again massively disrupted by Omikron. If, for example, China or the Netherlands closes a large port, this will also affect Berlin with a delay to a degree that is difficult to estimate.
Are there any industries that are particularly affected by the delivery problems?
The problem runs through the entire supply chain and can no longer be narrowed down to individual industries. Because both complex products such as semiconductors are now as scarce as seemingly simple raw materials such as wood. It can be said, however, that large customers, such as corporations, often have an advantage over smaller companies because of their market position. This is a risk for the Berlin economy, which is based on small and medium-sized enterprises (SMEs). But there is also an opportunity in this, because it increases the productivity pressure and the profitability of recycling processes. With the latter in particular, Berlin, with its high level of innovation and excellent research facilities, has an opportunity to combine sustainability with economic growth.
All over Germany one hears of surprising repayment requests from corona aid to companies. How do you rate this situation?
It goes without saying that aid for which there was no entitlement to apply must be repaid. It is important to us that these repayment modalities are designed in such a way that these companies are not driven into insolvency across the board. This applies above all to companies in the particularly affected sectors of trade, tourism and the event industry. The federal government should therefore urgently examine the repayment modalities.
For the new Berlin Senate you demanded that the motto “economy first” should apply. Do you see this anchored in the coalition agreement?
With this claim, we wanted to make it clear that the economy should always be at least part of the solution – and not be left out. I think that politicians in Berlin had too little confidence in the economy in the past. There was no belief that problems can be solved together. I hope that with the new governing mayor and also with the new Senator for Economic Affairs, a different, new perspective on the economic problems and perspectives of Berlin will find its way into the Senate. We can become a beacon of sustainability: If Berlin succeeds in creating best practice examples here, we will not only generate added value at the location, but we will have the chance together to help shape a more sustainable world from Berlin.
You have just spoken to the new Senator for Economics, a man from the business world. What do you expect from Stephan Schwarz?
He was President of the Chamber of Crafts and Vice President of the Chamber of Commerce. If anyone knows the diversity of industries that distinguishes Berlin, it is Stephan Schwarz. Berlin’s economy is not a monoculture. We are set up in a particularly diverse way – a clear locational advantage because it makes our economy more resilient than at other locations. Stephan Schwarz is also an entrepreneur – and we as entrepreneurs are solution-oriented. Solving problems is our business. We want to do that together with politicians and I have the feeling with Stephan Schwarz and Franziska Giffey that we can do it together.
There have been repeated complaints from business about the first red-red-green Senate. In your opinion, what needs to be improved with the relaunch of this alliance?
Politicians must come to the realization that we are part of the solution. That we get the freedom we need and that we are not always faced with new requirements and specifications. We urgently need to start tackling the major problems facing this city: on the one hand, there are the issues of urban design, pragmatic urban development and housing construction. I am confident that we will soon come to needs-based housing construction – that it will be built for all walks of life, that is, both inexpensive and higher-priced. The second big topic is digital administration. We have to solve all of this like in a game of Mikado: tackle the most important and easily accessible points first and then layer them step by step without getting caught up in the other problems. Companies have an average of more than 100 contacts with authorities a year, so it makes sense to digitize the most frequently requested administrative services first. This relieves the companies and the authorities.
Economic researchers predict that the German economy will be facing a strong upswing from summer 2022. What impulses can politics at the state level give?
Berlin is Germany’s only world metropolis and at the same time often approaches its challenges in a provincial manner. We’re talking about public WLAN until nobody needs it anymore, because everyone is on the move around the world via their mobile data network. We see the wear and tear on the infrastructure and then wonder when bridges are no longer passable. And we’re happy about the city’s international radiance, but we can’t think of anything better than to make tourists happy with a public transport ticket. Berlin must now quickly solve its problems with expertise from the economy in order to meet the demands of a global metropolis again. Then the city has to align itself internationally and develop a radiance and be a beacon through sustainability, which will permeate all areas of life and business in the future.
With Zalando and Hello Fresh, two companies founded in Berlin have made it to the Dax this year. Can Berlin, as a business location, slowly compete with heavyweights like Munich, Frankfurt and Hamburg?
I would say: we have the opportunity and must take advantage of it. The city has proven that companies can also be made big here, also on an international level. That they can also be sold and go public. The basic trust that has been built up in recent years can and must be used now. I would be happy if we do this with a focus on a sustainable future. As a location for financial innovation, Berlin has a great opportunity to cause a sensation worldwide, especially through the digital companies that we look to with pride.
What are your plans for 2022 at the head of the IHK?
A central topic for me is: More diversity! And I don’t just mean the diversity of industries. We want to win over more women entrepreneurs and also better reflect the diversity of migration in Berlin’s economy, for example the Arab, Turkish or Vietnamese communities. They are all an integral part of Berlin’s economy and I would like an IHK that represents this diversity – also in relation to politics. Next year we will elect the “Parliament of the Economy”, the plenary assembly of the Berlin Chamber of Commerce. I hope that many committed entrepreneurs will run for it – and that we will bring our position towards politics and administration together.
Finally, we would like to venture an outlook: What do you expect where the Berlin economy will be at the end of next year?
I hope that we will have overcome the corona crisis. And that we will have succeeded in tackling the city’s central problems together with the new government and creating a solution horizon. A kind of business plan that we work on together: By when can we do what? I hope that we will have set out to establish Berlin as a global location for finance and innovation. But I also hope for happy and healthy Berliners who can look forward to a positive future for the city together.
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