Broken Promises: Illegal Immigration on the Rise

Yesterday, Interior Minister Nancy Faeser officially presented the cold, hard facts on criminality in Germany.

The latest police statistics paint a grim picture of Germany. Here are five key statistics that shed light on the state of the country’s internal security:

#1: Crime on the rise: The annual crime statistics show that the number of crimes committed in Germany has increased by 5.5 percent to about six million per year.

Taking COVID out of the equation: Even when comparing 2019 and 2023, the pre-and post-pandemic years, crime increased by 9.3 percent.

#2: Migration: Out of about 2.3 million suspects (up 7.3 percent from 2022), 923,269 did not have a German passport, a 17.8 percent increase from 2022.

In addition to 402,514 immigrants - i.e., asylum seekers, refugees and illegal immigrants - the term ‘non-German suspects' also refers to travelers.

Adjusted figures: The statistics also include crimes such as illegal entry, which German citizens cannot commit. In particular, the offenses "unauthorized entry" (93,158 cases, up 40.4 percent) and "unauthorized stay" (187,059, up 28.6 percent) increased considerably. Adjusted for these offenses, the increase in non-German suspects is 13.5 percent.

It is important to note that the government's promise to stop or at least reduce illegal entry into Germany was definitely not fulfilled in 2023.

#3: Theft on the rise: Crimes related to burglary and theft were prevalent last year. About one-third of all crimes (1.97 million, up 10.7 percent) were theft-related.

There has been an alarming surge in residential burglaries (77,819 cases, up 18.1 percent). Berlin takes the lead in this category, with a staggering 35.2 percent increase, totaling 8,323 cases. Additionally, Hamburg, Bremen and Schleswig-Holstein all surpass the national average, each with increases of over 22 percent.

The statistics also show substantial increases in vehicle theft (29,985 cases, up 17.5 percent), shoplifting (426,096 cases, up 23.6 percent) and pickpocketing (109,314 cases, up 11 percent).

#4: Violent Crime: With 214,099 cases, violent crime reached a record high again last year (+8.6 percent from 2022). This includes dangerous and aggravated assaults, which also increased significantly.

Knife attacks and knife-related incidents have notably escalated, with robberies increasing by 17.4% to 44,857 cases. In the past year, there were 8,951 cases of knife usage or threat thereof, marking a 9.7% increase from 2022. On average, this translates to 24 knife-related incidents per day in Germany.

Furthermore, there's been a slight increase in murder and sexual assault cases. Murders, manslaughters and contracted killings rose by 2.1% to 2,282 cases, while rape and sexual assault increased by 2.4% to 12,186 cases.

#5: Where is it most dangerous? Berlin tops the list as the most dangerous city in Germany, with 14,292 crimes per 100,000 inhabitants. Following closely behind are Bremen with 14,170, Hamburg with 12,380 and Saxony-Anhalt with 8,863 crimes.

Bavaria is the most peaceful: With only 4873 cases per 100,000 inhabitants, it is regarded as the safest place to live.

North Rhine-Westphalia's Interior Minister, Herbert Reul (CDU), observes a shift in societal dynamics.

Reul highlights a dwindling tolerance for disagreement, attributing it to an increasingly volatile atmosphere. Wars and crises have only further fueled this aggressive disposition:

Minister Faeser echoed similar concerns at the November 2023 Federal Criminal Police Office (BKA) meeting, expressing alarm over the rising trend of violence within society:

Back in November, Faeser attributed the increase in violence to the "current migration situation" and "the extensive immigration of refugees." The police statistics presented yesterday confirm this.

Conclusion: These statistics serve as a clear mandate for the federal government to address the underlying issues. Or, as former Chancellor's Office Minister Bodo Hombach put it:

• Just 22 months after the €100 billion Bundeswehr special fund was granted, the money has de facto been spent.

• Rheinmetall shares lost more than ten percent of their value in yesterday's trading.

• An employee of Munich's Pinakothek der Moderne Museum has not only lost his job but has also been charged with a crime.

World Briefing: Yesterday, Sigmar Gabriel, former Vice Chancellor and ex-foreign Minister of Germany, spoke to our colleague Chelsea Speaker aboard the Pioneer One in front of about 120 guests. Their discussion covered, among other things, the ongoing conflict in the Middle East:

Sigmar Gabriel talked about the Israeli way of waging war and the Prime Minister's responsibility for what is happening in the Gaza Strip:

You can listen to the entire conversation in German on the next episode of the Pioneer’s World Briefing, which airs on Saturday.

Money, money, money must be funny: Some 22 months after the approval of the €100 billion special fund for the German Armed Forces, the money has been practically spent. According to the FAZ, €99,999,691,000 will have been spent by 2027. In short, the Bundeswehr will run out of money again in 2028.

In order to reach the NATO goal, the federal budget will need more than €80 billion per year. So far, only €50.6 billion have been reserved for 2024.

Debate over debt brake: While Defense Minister Boris Pistorius is already calling for a larger defense budget, similar demands are also growing within the Green Party. Parliamentary leader Katharina Dröge says:

Not for Christian Lindner: Touching the debt brake for the Bundeswehr's growing financial needs would mean crossing a red line for the finance minister. He doesn't want to do that.

With disciplined budget management, a debt-to-GDP ratio of less than 60 percent could be achieved by 2028, according to Lindner:

The upside: The potential savings for the federal budget 2028 would be around €10 billion. Where is the other €70 billion going to come from? That remains to be determined.

Heidelberg lawyer Hanno Kube - who also represented the CDU/CSU in the Constitutional Court ruling on the 2021 supplementary budget - sees such a retroactive change to the repayment period as "not unproblematic," as he told the FAZ.

A study commissioned by the Friedrich Naumann Foundation has examined the debt brake as a fiscal instrument 15 years after its introduction.

The result: The debt brake is not popular among debt politicians, but it works and does what it is supposed to do. It disciplines them. It also protects future generations, functioning as a combination lock on the state vault.

Prof. Lars Feld is the former chairman of the German Council of Economic Experts. In addition to his role as director of the Walter Eucken Institute, he is an economic advisor to the German Federal Ministry of Finance. As one of the authors of the study, he summarizes his findings as follows:

Investment as a share of gross domestic product fell after German reunification in 1989 but has risen since the debt brake was introduced. Modestly, Feld admits:

Lars Feld outlines the positive effects of the debt break as follows:

You can listen to the full interview in German here.

The Munich-based technology conglomerate is paving the way for the future. CEO Roland Busch, who has been at the helm since February 3, 2021, has extended his contract ahead of time until 2030.

No number one without a number two: The contract of the second most important figure behind Busch, Chief Industrial Officer Cedrik Neike, who is considered the number two and a potential successor, is also to be extended. A board member stated:

Busch's background: Roland Busch succeeded Joe Kaeser over three years ago. Last year alone, the conglomerate doubled its profits to a record €8.5 billion. Busch's success is also reflected in Siemens' share price, which has risen by 32 percent since he took office.

The extension of Busch's contract has been met with approval from investors, not least because Busch is credited with avoiding major restructuring or downsizing programs altogether. However, he must also help solve the problems at Siemens Energy, in which Siemens still holds a 17.1 percent stake.

Rheinmetall stock lost more than ten percent of its value in yesterday's trading, temporarily interrupting a steep upward trend. Since Russia attacked Ukraine, the stock has gained 460 percent in value.

Gaining profit after uncertainty: Yesterday, a comment from the U.S. investment bank Goldman Sachs triggered uncertainty, saying that Rheinmetall stock has more downside risks than upside opportunities. In addition, discussions this week on whether China could act as a mediator in the Ukraine conflict have also weighed on Rheinmetall's share price.

The business outlook is (unfortunately) positive: Despite the setback, Rheinmetall is doing exceptionally well. As of December 31st, the ammunition and tank manufacturer had an order backlog of around €38 billion. CEO Armin Papperger said this backlog could grow by as much as €10 billion by the end of the year.

This should provide the basis for Rheinmetall shares to reach new highs after a "breather."

Conclusion: Defense contractors thrive on war, not peace. Hot conflict, not "frozen conflict," is their business model.

An employee of Munich's Pinakothek der Moderne (Munich) has not only lost his job but is also facing legal action.

The reason: He hung a painting in the museum - his own.

The 51-year-old worked in the museum's technical department and had access to the exhibition after hours. What no one knew before this incident is that he was a freelance artist.

He went into the exhibition after hours, took out his cordless screwdriver and hung his own painting on the wall amid famous names like Max Ernst and Pablo Picasso.

The employee and amateur artist hoped this would be his big break. However, security noticed the unfamiliar painting a few hours later and promptly removed it from the wall. According to spokeswoman Tine Nehler's statement to the Süddeutsche Zeitung, the painting has likely been returned to its creator.

Further information about the painting, such as its motif or style, is unknown. The employee was banned from the premises and fired. He also faces charges of criminal damage for drilling holes in the wall.

His art was not appreciated. Joseph Beuys, whose works are also exhibited at the Pinakothek, would have seen the unknown employee with artistic ambitions as a loyal disciple. After all, Beuys used to say:

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