Key facts
- Bundesbank President Joachim Nagel is concerned about the rise of far-right parties in Europe.
- Nagel believes far-right concepts are economically self-defeating.
- He stated that the rise of far-right parties would deter foreign investors from doing business in Germany.
- The AfD party recently surged into first place in state elections in Saxony-Anhalt.
- The AfD's platform includes curbing migration and restoring ties with Moscow.
Bundesbank President Joachim Nagel voiced concerns on Thursday regarding the increasing influence of far-right parties across Europe, suggesting their ideologies could be detrimental to economic prosperity and deter foreign investment. Speaking at a European Central Bank press conference in Berlin, Nagel highlighted that such parties' concepts are "self-defeating in an economic sense."
Nagel specifically pointed to the recent surge of the far-right party Alternative for Germany (AfD) in state elections in Saxony-Anhalt, where it secured first place on a platform focused on curbing migration and re-establishing ties with Moscow. He questioned the helpfulness of this political direction for attracting foreign investors, stating, "I think they will be reluctant, they will shy away from doing business here. So yes, I'm concerned."
Additional reports indicate Nagel's long-standing concern about right-wing extremism threatening Germany's prosperity. He has previously stressed how disastrous an exit from the euro would be and has called on people not to underestimate the threat of right-wing extremism, noting that it scares away investors and skilled workers. Nagel also participated in a rally for democracy in Frankfurt, emphasizing the importance of not worsening the economic situation to avoid deterring investment.