Positive economic results for the city of Munich: The annual economic report presented by Mayor Josef Schmid shows that the Bavarian capital continues to experience an upswing. The above-average increase in employment in future-oriented industries is particularly encouraging.
Foundation for tomorrow's prosperity
Mayor Josef Schmid, Head of the Department of Labor and Economic Development, presented the current annual economic report for Munich. He emphasized:
"Munich's economy shines with impressive data: Last year, Munich as a business location again developed extremely positively: Munich's above-average performance is evident in all areas. What is particularly important to me is that the interplay of high economic power and specific innovative strength is leading, for example, to above-average employment growth in future-oriented industries. With this development, we are laying the foundation for tomorrow's prosperity in Munich."
Key indicators and figures from the Annual Economic Report
- Munich's GDP has increased by almost 20 percent over the past five years. Bavarian GDP growth was 14 percent, while Germany's GDP grew by 12.2 percent.
- GDP per employed person reflects labor productivity: this figure was 98,041 euros in 2015 – 30 percent above the Bavarian and 39 percent above the German average.
- For years, Munich has had by far the highest purchasing power among major cities nationwide. Purchasing power in Munich is now €32,139 per capita (+4 percent), 40 percent above the national average. In comparison, other cities are Düsseldorf (19 percent above the national average), Hamburg, and Frankfurt (each 11 percent above the national average). (→ JWB, p. 19 f)
- Never in 40 years has the Munich labor market experienced such a long period and such continuous high employment growth as it has since 2007. The increase in 2017 was particularly high, both in absolute and relative terms, at +3.3 percent. At the same time, the unemployment rate fell to its lowest level in 20 years (Munich agency district: 3.9 percent) (→ JWB, p. 13 f, p. 46 ff).
- The key characteristics of Munich as a business location are its broad positioning, its performance, and its capacity for change and renewal.
Promoting the startup scene is one of the fundamental fields of action
According to a press release, the City of Munich is supporting and shaping the technological and digital transformation for the benefit of a prosperous urban society and the local economy. The Referat für Arbeit und Wirtschaft is running a variety of projects that, within the framework of municipal economic policy, help shape the future viability of the location. These relate to the areas of smart cities, mobility, the new startup and innovation center Munich Urban Colab, supporting the entrepreneurship and startup scene, strengthening and expanding the creative industries, and intelligent instruments for the densification and conversion of commercial space.
