While weak and volatile demand is a major drag
on investment there are few restrictions in terms of
Research shows the amount of internal and
external financing of non-financial German companies.
It reveals firstly, that businesses cover an ever increasing
proportion of their financing internally while external
borrowing on the financial markets represents a shrinking
proportion (Deutsche Bundesbank 2012).
Secondly, even for those businesses that remain reliant on borrowing,
the conditions are very favourable.