Hanno Kempermann

Researcher of the IW Consult

Hanno Kempermann

Agnes Ricci

Researcher of the IW Consult

Agnes Ricci

The results show that the digital affinity of a region’s companies impacts on its economic growth. The most digitally literate parts of Germany are also best placed in the IW Regional Ranking 2018, while the least digitalized areas are located on the periphery. It is in the latter especially that high-performance broadband infrastructure would more than pay for itself, since the faster the local Internet is, the more digitally literate companies are. And such digital affinity has a significant positive effect on growth. This means that if they are to keep pace with the rest of the economy and attract both people and businesses, rural areas need to invest much more in establishing broadband infrastructure. The IW Regional Ranking, which reflects the level and dynamics of the regions’ economic performance, provides important information on the various regions’ different strengths and provides guidance on which measures offer the best chance of promoting economic prosperity.