Three levers for greater capital mobilisation
A Private capital for public investment and innovation
Germany faces significant investment needs—particularly in infrastructure, decarbonization, and future technologies. Public budgets alone cannot meet these needs.
Key findings of the study:
- Scalable capital market instruments such as blended finance, green bonds, and public-private funds are crucial for mobilizing private capital.
- Stable regulatory governance increases planning security and willingness to invest.
- Investment banks play a key role in providing access to market-based financing, especially for start-ups and scale-ups.
- Initiatives at the German and EU level must systematically close financing gaps and attract growth capital.
B Stabilising the pension system through capital markets
The pay-as-you-go pension system in Germany is coming under increasing demographic and fiscal pressure. Capital market-based pension models offer a necessary supplement.
The study shows:
- International best practices such as automatic enrollment, tax-privileged securities accounts, and employer subsidies increase participation and returns.
- Reform models based on the Swiss and Swedish models strengthen long-term wealth accumulation and resilience.
- Funded elements reduce the risk of poverty in old age and relieve the burden on public budgets in the long term.
C Promoting share and fund investments by private households
German households hold a disproportionately high proportion of their assets in low-interest savings products. Compared to other countries, investment in shares and funds remains low.
The study identifies three key areas for action:
- Targeted tax incentives for long-term capital market investments
- Simple, standardised investment products
- Systematic financial education to overcome structural and cultural barriers
Greater capital market participation not only increases individual return opportunities, but also mobilises additional capital for the economy and transformation.
Why the study is relevant
- Specific recommendations for action for policymakers, the financial industry, and institutional investors
- Comparison of the German capital market ecosystem with international benchmarks
- Strategic impetus for sustainable capital market integration
Get the full analysis here: “The Mobilisation of Capital in Germany” (February 2026), including specific reform proposals and capital market mechanisms.
