Dear readers,
Can we afford it? This is a question many people are currently asking themselves in their everyday lives. Businesses and local authorities face similar challenges. At the same time, the backlog of renovation work is growing. Germany must invest on a large scale: in the modernisation of our energy system, in new technologies, and in roads, railways and digital networks.
On top of that, we live in a world of increasing uncertainty. We are feeling the effects of geopolitical tensions, disrupted trade relations and changing supply chains here at home too. The consequences of extreme weather events, such as low water levels, add to this. Everywhere, the need to adapt is growing.
This affects our prosperity. That is another reason why we must take countermeasures: through a competitive economy, efficient infrastructure and a modern energy supply.
This cannot be achieved through public funds alone. Private investment capital is needed, provided by strong financial partners. This requires reliable and stable conditions.
After all, investment is also about long-term trust. As savings banks, we provide reliable, long-term support to our customers. We highlight opportunities and openly identify potential risks. Our strong local roots help us to do this. We know the local markets and work closely with local authorities.
Savings banks have been supporting economic and social change for generations. Constant change is part of their DNA. Sustainability is becoming increasingly important. For us, this means more than just climate protection. It combines environmental responsibility with economic viability and social inclusion. This transformation must be financially viable and open up opportunities for many people.
This transformation will not proceed at the same pace everywhere. Whether sustainability-focused investments are economically viable often only becomes apparent over the longer term. This makes it all the more important to focus on their long-term impact: modernisation, more efficient use of resources and reduced dependencies strengthen competitiveness and resilience. High-performance infrastructure makes locations more attractive. Improvements in energy efficiency lead to noticeable cost savings.
Our Report to Society demonstrates how this is being achieved on the ground. Using specific examples and key figures, it highlights what the savings banks and their network partners are achieving in the regions – and where there is still work to be done.
After all, simply asking Can we afford it? is not enough. Instead, the question must be: What will it cost us if we do not invest today?
Prof. Dr Ulrich Reuter
President of the German Savings Banks and Giro Association