"Does he even consider the young economy?": Greens criticize Merz's startup policy

There were big ideas and promises: "Startup protection zones" and "one-stop shops" were part of the CDU/CSU election platform . Both were designed to make starting a business in Germany easier, faster, and less bureaucratic. A "high-tech agenda" and tax breaks for investors were also mentioned.

The "start-up in 24 hours" initiative also made it into the coalition agreement between the CDU/CSU and the SPD , along with the promotion of key innovations and massive investments in AI, robotics, and quantum technology. The government should become a more frequent startup customer, it states, and the government intends to award more public contracts to startups.

During the short winter election campaign, Chancellor Friedrich Merz repeatedly and explicitly courted the favor and votes of the country's young entrepreneurs. As a guest on the "Election Arena," a special of the podcast "Fast and Furious" by Verena Pausder and Lea Sophie Cramer, Merz promised to be like Macron – at least a little bit. "I will take a close look at what Macron did," the then-candidate for chancellor said in the podcast. "I will do the same thing in Germany, one way or another, so that startups in Germany have a good chance."

Merz has been in office for 65 days now. For 65 days, he could have "made startups a top priority" (a wish that the chairwoman of the Startup Association, Verena Pausder, expressed to the new chancellor). In reality, however, it looks as if the topic of startup policy has been de-prioritized by the new government, as if it had slipped off the table. At least, that's the critical observation of members of the opposition.

For example, Katharina Beck, a member of the Bundestag for the B90/The Greens parliamentary group, who will again be responsible for startup policy in the new legislative period. In her opinion, the new federal government is not addressing the issue of startups with the necessary priority and clarity. This creates the impression that startup policy simply doesn't seem to be particularly important to the government.

"There are good points about supporting startups in the coalition agreement. I also heard a passionate speech by Economics Minister Reiche at the Startup Awards ceremony a few weeks ago – but at the same time, I simply don't see any action here yet," the Bundestag member said in an interview with Gründerszene. "And especially when you make economic policy such a priority, as Friedrich Merz does, I have to ask myself: Is he even considering the young economy?"

Beck finds the still-unresolved question of responsibility particularly problematic: Who actually does it? Two or three ministries could serve as a home base for startups: the Federal Ministry of Economics and Technology (BMWE) headed by Katherina Reiche or the newly created Federal Ministry for Digital and State Modernization (BMDS) under Karsten Wildberger. And then there's the Federal Ministry of Research, Technology and Space (BMFTR) headed by Dorothee Bär (CSU), who herself was once the German Federal Government Commissioner for Digitalization.

None of these ministries has yet clearly stated: "We're doing startups." If it were up to Katharina Beck of the Green Party, she'd know where to put the issue: "It's clear to me: startups are an essential part of the German economic landscape. Therefore, I think it would be only logical to see responsibility for them in the Ministry of Economic Affairs. Or, if you look at the issue even more broadly, actually in the Federal Chancellery."

When contacted, both the Ministry of Economic Affairs and the Ministry of Digitalization told Gründerszene: "We're on it. But we're not yet ready to decide who will take over what. A spokesperson for the BMWE wrote: "The specific details will be agreed upon in administrative agreements with the ministries named in the decree – including the BMWE – by August 1, 2025."

The unclear jurisdiction is hindering the new government's work on a new startup strategy , says Katharina Beck. "It's not clear to me who will do something good and when."

She therefore submitted a written question to the federal government, wanting to know when and with what focus a new startup strategy would be developed. The response from the Ministry of Economic Affairs was, as the politician put it, a "non-answer": They had already announced that they were working on a Startup Strategy 2. However, its content and focus would be announced later.

When asked if and when the new strategy would be implemented, the spokesperson replied: Yes, it is. Federal Minister of Economics Reiche has announced a Startup Strategy 2. However, this is currently a work in progress.

And while it remains unclear who is doing something, it has become clear who is no longer doing something: At the end of June, the new Federal Minister of Economics, Katherina Reiche, eliminated the position of Federal Startup Commissioner within her ministry. The elimination coincides with the elimination of 25 commissioner positions announced by the coalition at the beginning of its term in office.

For seven years, the position of Commissioner for Startups and the Digital Economy served as a link between the Ministry of Economic Affairs and the startup scene. In 2018, Peter Altmaier, as Minister of Economic Affairs, appointed Thomas Jarzombek (CDU) as Germany's first Commissioner for Startups, and Robert Habeck then appointed Anna Christmann (Greens) as Commissioner for Startups.

Beck considers this role important, especially because startup policy spans a wide range of areas. They often involve a variety of topics, from funding and financing to education and digitalization. A key position where all of this converges simply made sense.

Her parliamentary colleague Julian Joswig, chairman of the Green parliamentary group in the European Affairs Committee and member of the Committee on Economic Affairs and Energy, is also very critical of the abolition of this position, especially since, in his opinion, the previous startup commissioners “set some levers in motion,” as he says, and were “important contacts for the startup industry.”

That is why he recently asked the BMWE: Why was this important position eliminated? The ministry's response, which Gründerszene has exclusively obtained, is rather vague. In short: We simply have to save money.

"The coalition agreement provides for halving the number of federal commissioners," writes State Secretary Thomas Steffen. Therefore, "initially," there will be no commissioner for startups. However, the topic is still important, he asserts: "At the same time, the federal government has given startup policy high priority in the coalition agreement. For Federal Minister of Economic Affairs Reiche herself, the strength of startups is of great importance for Germany's competitiveness and innovative capacity."

We received the same answer – with the additional comment: “The startup commissioner of the last legislative period was not a commissioner of the federal government, but a commissioner of the BMWE (by the minister).”

It does not sound impossible that Minister Reiche will also appoint someone else here.

For politicians from the opposition Green Party, one thing is clear: Even though there are many pressing issues these days, startup policy shouldn't be neglected. Katharina Beck sees three areas in particular that should be addressed sooner rather than later:

First, the issue of financing startups and growth companies, especially in the later growth phases. Second, the announced simplifications surrounding company formation in Germany must actually be implemented. And third, public procurement law should be revised so that the government can actually become a more frequent customer of startups—as announced in the coalition agreement.

It is therefore now time to take action.