What makes a location an attractive investment destination?
While many may agree that good infrastructure, sound policies and a skilled workforce are vital to create a thriving business environment, Brandenburg State Minister of Economic Affairs, Labor and Energy Jörg Steinbach stressed that to unlock the full potential of any region an equally important factor was to establish mutual trust.
Located in the northeast part of Germany, Brandenburg hosts some of the world’s prominent industrial giants, like Tesla, Rolls Royce and BASF. Steinbach told GMI POST that his strategy was founded on gaining the confidence of current and potential investors.
According to the minister, Brandenburg attracted 1.8 billion euros in foreign direct investment in 2022 and secured another 1.5 billion euros in FDI as of August this year. Brandenburg has a strong economic development, as confirmed by a 6% increase in GDP.
“The Minister-President of Brandenburg and the Ministry of Economic Affairs, Labor and Energy are able to attract and cultivate strong relationships with investors because we treat them as personal commitments. Investors can call us anytime and we promptly take care of what is necessary,” said Steinbach, adding that fostering trust requires personal engagement.
Brandenburg has a three-step process for its strategy.
On the frontline is the Economic Development Agency (WFBB), which provides all the information about opportunities, infrastructure, benefits, incentives, supplier and vendor networks, and supporting industries. The WFBB acts as a dedicated partner to help interested businesses manage their interests from the first consideration to the investment.
Especially for larger investments, the ministry closely accompanies the process. According to Steinbach, he personally coordinates with new investors in developing their respective projects. This also includes the Minister-President, when necessary. Under his leadership, for example, there was a task force that supported the large-scale establishment of a company that built the factory and creates many jobs in a short time.
Once the ministry and the company finalizes all the details, the minister-president takes the lead and forms a dedicated task force that oversees implementation and reports directly to both the minister-president and the investor.
This well-received tailored approach has positioned Brandenburg as a leading investment location for foreign entities.