Germany needs immigration to sustain economy, says Bundesbank chief Nagel

By Mark Schroers

 

Germany needs immigrants to maintain economic momentum and make up for demographic decline, according to Bundesbank President Joachim Nagel. 

“We are an aging society in most of the countries and Germany is one of these countries,” he said in New York on Monday, echoing earlier comments. “We have to have immigration in Europe, because otherwise we are losing a lot of economic power.”

 

Speaking to students at the New York University Stern School of Business, Nagel stressed that Germany “should have that openness when it comes to immigration.”

 

“I know this is a very complicated political discussion at the end, but my institution, in my role, I will do everything to put a lot of emphasis on that and say, ‘well we need this qualified immigration to Europe, to Germany and we have to have open economies, open countries, tolerant countries,’” he said. 

 

The Bundesbank chief spoke just hours after Chancellor Friedrich Merz doubled down on controversial remarks made last week that suggested Germany has too many migrants, as the conservative politician seeks to regain the initiative over the far right. 

 

“I have nothing to take back,” Merz said on Monday when asked about comments he made about how cities in Germany look and why the government needs to step up deportations. 

 

Nagel, who hasn’t shied away from controversial topics since taking office in 2022, was similarly determined.

 

“I will do everything that I can do to really show to the politicians that we need such a discussion,” he said. “Because otherwise we are falling behind.”