Dear Members and Friends of IGCC,
As we approach the end of 2024, the world finds itself navigating through immense challenges and uncertainties. Most importantly, the military conflicts, which have cost thousands of lives during the year, are continuing and there is no end or solution in sight. To the contrary, the indications point towards further escalation.
On a global level, we have seen COP29 ending with some declarations, but no breakthrough. Especially the discussions about how the global decarbonization shall be financed continue. A “Road to Belem” has been announced, yet the specifics remain unclear.
Donald Trump’s re-election and his proposed policies, such as increased tariffs on imports, particularly from China, but also from Mexico and Canada, are poised to significantly influence global trade. This will undoubtedly affect India and Germany, given their strong trade ties with both the US and China.
Germany’s upcoming federal elections on February 23, 2025, follow the premature collapse of the 'Traffic Light Coalition,' highlighting deep divisions over strategies to revitalize the stagnant economy. Recent state-level elections suggest challenging coalition-building ahead, compounded by the rise of extreme and new political parties, which leads to parties sharpening their political profile rather than a common base.
All the above will not leave India and the Indian economy unaffected. Yet, as of now, both the political as well as the economic arena seem to be more stable, robust and resilient than in almost any other major country around the globe. The economy continues to grow, so does the importance of India’s voice in the world.
This stability in a world of uncertainties sends a message that is well-heard and understood by the Government and industry in Germany: Now is the time to work closer with India! This message was heard loud and clear in Delhi in October, when the Asia-Pacific Conference of the German Business (APK 2024) and the Indo-German Governmental Consultations (IGC) were held in parallel. The presence of both Heads of Governments, several Ministers and a number of Indian and German industry captains at the APK was a very rare occasion, and it was very special for the whole IGCC team, to be the co-host of the event.
It is now important to maintain the momentum! We must focus on realizing potential – bringing more German companies to India and Indian companies to Germany. Collaborating in transformative areas like energy transition, global decarbonization efforts, resilient supply chains, and workforce development will strengthen Indo-German relations and beyond.
Unfortunately, this year-end Editorial echoes many of last year’s themes. For all of us that can only mean that we must double our efforts to find collaborative solutions. Everyone focusing solely on individual interests, without considering the impact or lack of impact on others, will not do the job. On no level!
On that note, I wish all our readers, their families, and their teams a happy holiday season. May the New Year bring health, optimism, and renewed determination to face our shared challenges.
Yours,
Stefan Halusa
Director General, IGCC Mumbai
