Berlin on the way to the economic metropolis: does the city of Munich overtake?

Berlin on the way to the economic metropolis: does the city of Munich overtake?

In the current analysis of the "Global Cities Index", five German cities are in the top 100 economically strongest regions worldwide. Munich's placement in 22nd place and Berlin in 29th place are significant because the forecasts of Oxford Economics indicate that Berlin Munich could soon overtake. This results in exciting developments for the German metropolises and their economic strengths.

According to the [Welt] (https://www.welt.de/wirtschaft/article256236016/berlin-koennchen-schen-als-wirtschaftsstaekste-Stadt-Bald-Teber, the gross domestic product (GDP) in Munich is $ 283 billion, while with $ 280 billion just behind. Berlin's advancement opportunities are justified with a robust economic perspective, the attractiveness for young talents and an flowering creative and technology sector. These factors bring a breath of fresh air and many new ideas to the city.

The ranking at a glance

Here is an overview of the German cities in the "Global Cities Index":

• Munich: 22nd place
• Berlin: 29th place
• Hamburg: 39th place
• Frankfurt: 62th place
• Düsseldorf: 99th place

Overall, it turns out that Berlin not only catches up economically, but also scores at the "human capital". The “human capital” is understood to see the age structure of the population and the quality of the educational and science institutions. The comparison with cities such as Zurich, Geneva and Vienna, which are also among the best in the world, is highlighted by the analysis of Oxford Economics. Switzerland has five cities in the top 100, Austria only places one city in 36th place with Vienna.

economic strengths in focus

But size alone does not make you strong. As the IWD, economic strength is often measured on the gross domestic product (GDP) per capita. In this ranking, Wolfsburg is at the top with an impressive GDP of almost 146,000 euros per capita. Berlin, on the other hand, positions itself in midfield with around 49,200 euros per capita and still achieved significant GDP growth of 14 percent between 2019 and 2022. This shows that despite challenges in the start-up sector, a positive trend is recognizable.

What is the cities ahead of? The analysis of the urban dynamics on which the "Global Cities Index" is based could provide important information for investors, corporate strategies and urban development plans. The index, created by a team of over 40 economists, represents a valuable resource for governments and companies. The challenges and opportunities of the different cities could be better managed.

The dominance of English -speaking cities in index is striking. New York, London and Paris are the global pioneers, while only Hong Kong can be found as a Chinese metropolis among the top 100. These disparities can represent both opportunities and challenges for European cities that are eager to strive for economic stability and growth.

Overall, it remains to be seen whether Berlin can actually overtake Munich. The current developments definitely promise exciting times for the German economy and its metropolises.