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Ray Furlong

Ranty Islam interviewed Ray FurlongAugust 23, 2005

Ray Furlong has been the BBC's correspondent in Berlin since 2003. With the general election coming up, DW-WORLD talked to him about his views on the current situation in Germany.

Furlong: "Business confidence needs to be strengthened"

DW-WORLD: How is Germany doing in your opinion?

Ray Furlong: On the one hand, Germany is still a very wealthy and prosperous society. The problem is that is hasn't had any decent economic growth for far too long. Unemployment figures also haven't come down significantly. In economic terms the east of the country is still very much a burden. A lot of money has been put into big projects there with no lasting benefits. Generally there there's a bad vibe in Germany. However, I think the comparison with 1970s Britain that is occasionally drawn does not work. Germany's economy has never been as bad and the trade unions never as strong as in the UK in those days.

What needs to happen in Germany to help speed up the country's recovery?

Germany is not competitive enough due to structural problems. The high cost of labor needs to be tackled. Flexibility is also very important. Instead of trade unions and employers negotiating the wages centrally they should be determined factory by factory. I am not sure whether ultimately consumption needs to be boosted. More importantly business confidence needs to be strengthened so as to encourage more investment in Germany.

Gerhard Schröder or Angela Merkel? Who is your personal choice for chancellor?

No comment.

What do you like about Germany?

I like Berlin. It has the advantages of a village -- it is very laid back -- and combines them with the advantages of a big city. I enjoy the great diversity of accents and local regions in the country. It is fascinating to see how this variety plays out also in the political arena, for example in the constant debate on reform in the country but also the recent confrontations between Bavaria and the east of Germany.

What do you dislike about Germany?

There are a couple of small things I find frustrating. I recently moved house and I had to repaint the walls in my old place for the next person to move in. Why?? And there are the amounts banks charge for the privilege of me having an account with them. Oh yes, and when I went to an Italian restaurant the other day they would only accept cash. It makes you wonder what century they live in. But all in all nothing major, really.

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