Chapter 29
“Yes”
“As long as you are willing to move your headquarters to Munich”
“Not only can I inject capital into you, but I can also give you some additional support strategies.”
Lin Fan made an offer that was hard to refuse.
Dr. Glass was moved to tears!
In recent times, he has been seeking help from the government departments.
However, neither the Hamburg City Government nor the state government were willing. Come to the rescue.
The Hamburg city government told Dr. Glass that there are many similar companies, and the government cannot control them at all.
The state government said that companies larger than IBEO are filing for bankruptcy, so please get in line if you need it.
Nowadays, The company was finally saved.
Dr. Glass could finally let go of his hanging heart.
In fact, what the Hamburg city government and state government said was true.
According to the analysis of a”Research Report on German Corporate Bankruptcy”,
Continued economic weakness, structural challenges, and tightening financing conditions are likely to cause more German companies to fall into financial difficulties this year.
The report predicts that the number of bankruptcies of German companies this year may increase by 10% compared with last year. 3.
The report was given by Allianz Insurance Group.
The group’s head of Germany said:”This growth trend has begun to appear, especially in the second half of last year.”
Data show that compared with the second half of the previous year, the number of bankruptcies of German companies increased significantly in the second half of last year. An increase of approximately 25%!
Among them, hotels, retail, construction and service companies had the largest number of bankruptcies.
Based on this development trend, analysts from Allianz Insurance believe that the number of bankruptcies of German companies this year will increase to more than 20,000.
In addition, economists predict that the number of global bankruptcies will increase by 9% year-on-year..
They believe that slowing growth, uncertainty caused by trade disruptions and wars are key factors causing this situation.
A consumer environment research report jointly released by the Deutsche Market Research Institute and the Nuremberg Institute for Market Decision-making shows that the German people Consumer confidence dropped by 29 points from last year.
Rolf Bickel, an expert in the field, said:”Consumers are very uneasy.”
“In addition to the continued rise in prices, the German economy is expected to be weak this year, which may also be an important reason.”
The federal government also lowered its growth forecast for this year to 0.2 percent from the previous 1.3 percent to avoid being slapped in the face.
Some analysts pointed out that since the escalation of the E-Ukraine War, high energy prices have triggered Sustained inflation is one of the important factors dragging down economic growth.
From the perspective of industrial structure, the German internal economy is more vulnerable to the impact of this factor.
Various signs indicate that the people and the government are not optimistic about the economic prospects within the German Federation. , is becoming more and more pessimistic.
Under this situation, it is difficult for companies to obtain financing.
Many companies have gone bankrupt.
There are many companies similar to IBEO.
In order to solve this problem, Lin Fan is determined to formulate a set of systematic response measures.
Lin Fan A group of student party members from the law department were recruited and asked to extract passages from federal laws and constitutions to prove that Felix, as the mayor of Munich, had the right to intervene in the development of local enterprises.
Soon, these student party members found This is the basis for this.
According to the provisions of the Basic Law of the German Federation, municipalities are the most basic autonomous units of the German Federation, rather than subordinate executive units of state governments.
In other words, local governments have the right to formulate their own grassroots organizational laws.
With this legal endorsement, Lin Fan immediately drafted an”Urban Industrial Revitalization Act.”
According to this bill, the government will borrow money in the name of the city government, divest the debts of bankrupt enterprises, re-inject capital, and ensure that urban industries Development.
The bill stipulates that enterprises in all walks of life must formulate fair business rules and regulations for their own industries, and determine the production scale, product price range, wage standards, and working hours of each enterprise to ensure that vicious competition will not be triggered.
The bill also stipulates the minimum wage for enterprises standards.
Enterprises that violate this regulation will be punished by the city government.
After the modification was completed, Lin Fan called Felix and others
“Do you mean to transfer all corporate liabilities to the accounts of urban investment institutions?”
Felix asked with a slight doubt.
On the side, the cadres left behind by the previous government were shocked!
This is equivalent to letting the government buy these companies that are on the verge of bankruptcy.
“yes”
“Only in this way can these companies avoid bankruptcy.”
Lin Fan nodded slightly.
The top priority is to save those enterprises.
“But we don’t have enough money.”
Anna reminded Lin Fan that the city government’s accounts only have 370 million euros.
However, the city government’s debt has exceeded 38 billion euros.
In fact, in order to cope with the energy crisis and the high cost of public expenditures, Schultz The government has pushed the total debt of the German Federation to a record high!
According to the results released by the Federal Bureau of Statistics, the total debt of the federal government, state governments, and municipal governments has exceeded 2.4 trillion euros! alone! The federal government alone has a debt of 1.6 trillion euros!
“Then borrow it.”
Lin Fan gave two plans.
One is to borrow money from banks.
The other is to provide social financing.
With this set of operations, at least 10 billion euros of funds can be obtained.
Afterwards, Lin Fan handed Felix a Business rescue list.
It lists a group of companies that need rescue.
Mainly some technology companies.
Lin Fan asked him to negotiate one by one according to this list.
Felix glanced at the companies on the list and looked a little surprised.
He didn’t To think that Lin Fan was planning to acquire more than a hundred companies!
“what about me?”
Paul asked curiously.
As the director of the Public Affairs Bureau, he was curious about his next job.