Developing business and attracting new companies: Hamburg Invest reaches record value in business investment

"A good 7,400 people have found a new job or their work has been secured - that's a great success, not least because we are retaining labour and skilled workers in Hamburg. Most of the new jobs were created in the mobility, life sciences, energy and logistics sectors. There is a lot of dynamism in these sectors, and Hamburg is a location that is in demand for future-oriented industries. In addition to jobs and tax revenues, company relocations also create additional benefits by strengthening Hamburg as a centre of innovation. At the same time, this lays the foundation for further value creation through companies and innovations that increase the quality of life in Hamburg in the long term."

“Despite global economic uncertainties and changes in financing conditions, we recorded strong investment activity by Hamburg’s business sector also in 2022. Demand for sites is unbroken, especially when it comes to large spaces that can be used for industrial and commercial purposes. What is more, companies need space to be able to implement innovations. These two factors have a positive impact on Hamburg as a business location. Therefore, as part of our Regional Innovation Strategy, we expressly support technology- and knowledge-based companies with high-value-adding jobs in finding suitable space in Hamburg.”

A recent study by CIMA Institut für Regionalwirtschaft GmbH, a German research institute, has found that the activities of Hamburg Invest have led to value-added effects totalling €1.6 billion in 2022. In addition to the direct and indirect effects of investment, the individuals performing these 7,400 jobs created/secured as a result of relocation also play an important role as they contribute to local value creation e.g. as consumers and taxpayers. According to the institute’s calculations, the fiscal effects of this amount to approx. €160 million.

For its advisory services provided e.g. as part of the startup consultation hour and ad-hoc consultations, Hamburg Invest’s dedicated Startup Unit continues to record sustained demand from various technology sectors. The Startup Unit aims to strengthen and market the city’s startup ecosystem through a variety of event formats. In addition to this, 2022 saw the launch of two new projects commissioned by the Hamburg Ministry of Economy and Innovation: the online platform “Startup City Hamburg” and the “Scaleup Landing Pad Hamburg” project. The Scaleup Landing Pad is targeted at growing startups from abroad and aims to attract promising new enterprises and to accompany them along their path of setting up business in Hamburg.

Due to the Russian-Ukrainian war and the sanctions imposed on Russia, this source market virtually collapsed last year and will not play a relevant role for new settlements for some time to come. Likewise, the international investment sector continues to be under great pressure due to the geopolitical situation in the Asian region and the restrictive measures that are in place there to contain the pandemic. At the same time, travel and congress business has now largely resumed, which opens up new perspectives. Activities in source markets such as Singapore, the United States, Great Britain, Japan, Turkey or Poland have been expanded, which should pay off especially in 2023. Beyond Germany, strategic source markets such as India, Denmark and Britain will continue to be the focus of activities this year, even though the cost burden caused by the war in Ukraine alongside general cost increases will certainly have a significant impact on investment in 2023.