Germany’s Pension Gap Persists as New Savings Reform Struggles to Address Inequality

A new analysis from the German Institute for Economic Research based on data from the Socio-Economic Panel highlights persistent gaps in pension provision across Germany, showing that supplementary retirement savings remain limited and unevenly distributed among different population groups.

The findings come shortly after the Bundestag approved a new retirement savings account intended to replace the Riester pension. The reform aims to expand private pension participation, but the research suggests structural issues continue to limit its effectiveness.

According to the study, fewer than 10 percent of current pensioners receive income from private supplementary pensions, while around one-third benefit from occupational schemes. Among the working population, participation in private pension products rose in earlier years but has stagnated since the mid-2010s and recently declined.

The data reveals clear disparities. Individuals with higher incomes, stronger educational backgrounds and no migrant background are significantly more likely to hold additional pension savings. Gender differences are also evident, with women more likely than men to make supplementary provisions. However, low-income earners and those with interrupted careers remain the least covered.

“Supplementary private pension provision has so far been far from reaching all population groups equally and tends to exacerbate existing inequalities in old age rather than balancing them out,” said Peter Haan, who co-authored the research with Johannes Geyer and Marcus Borlinghaus.

Occupational pension schemes, while more common than private ones, also show uneven access. Employees in larger companies and certain sectors are significantly more likely to participate than those working in smaller firms, with additional variation across regions and genders.

The new savings account introduces features such as potentially higher-yield investment strategies and a standardised state-backed option, which could improve uptake. However, researchers argue that voluntary systems continue to fall short.

“We know from research that voluntary supplementary pension schemes are not achieving the necessary uptake, because it is primarily those who already have sufficient resources who are making provisions,” said Johannes Geyer.

The study also raises concerns about the design of state subsidies. Since benefits are closely tied to individual contributions, higher-income households stand to gain more, reinforcing existing inequalities rather than reducing them.

The authors conclude that more fundamental reform may be required. They suggest a system that is more deeply integrated, potentially including mandatory elements and collective risk-sharing mechanisms similar to occupational pension models. Such an approach could better accommodate varying employment histories and reduce exposure to market fluctuations.

At the same time, public opinion appears to favour a strong role for the state. Around 60 percent of respondents in the SOEP survey support a predominantly state-led system to secure living standards in retirement, while only a minority believe responsibility should rest primarily with individuals.

Source: DIW Berlin

Poland’s Job Vacancy Barometer signals tightening labour market conditions

Competition for available jobs in Poland is expected to intensify, as the latest data from the Job Vacancy Barometer points to a continued slowdown in recruitment activity alongside a gradual rise in unemployment.

The index, compiled by the Department of Economics and Finance at WSIiZ and BIEC, declined again in March 2026 to 244.5 points, down from 246.7 in February and 261.4 a year earlier. The figures, adjusted for seasonal effects, reflect a persistent downward trend in online job postings that has been evident since April 2025.

According to the report, vacancies have been falling across three out of four broad occupational groups. The most pronounced drop has been recorded in manual professions, although this segment still accounts for a relatively large share of available roles. In contrast, positions requiring a science or engineering background showed a modest increase, remaining the only category with an upward trajectory, albeit from a low base.

The decline in hiring activity is linked to broader economic pressures. The report highlights weaker economic conditions, compounded by inflationary pressures stemming from energy market disruptions associated with the conflict in the Middle East. At the same time, Poland’s registered unemployment rate, excluding seasonal work, rose to 5.8% in February. While still low by historical standards, the number of unemployed individuals has increased compared with the previous year.

This combination of fewer vacancies and rising unemployment is shifting labour market dynamics. The report notes that these trends are “fostering an employer’s market, weakening employees’ bargaining power and dampening prospects for real wage growth,” adding that in such an environment, upskilling is becoming increasingly important.

Regionally, job vacancies declined in most provinces in March. The sharpest increases were recorded in Podlaskie, Lubuskie and Opolskie, while the largest decreases were observed in Pomorskie, Wielkopolskie and Lubelskie. The report also points to a slightly stronger contraction in regions with already low unemployment levels.

Across occupational groups, services experienced the most notable monthly decline in vacancies, continuing a gradual downward trend observed over the past 18 months. Despite this, vacancy levels in the sector remain broadly in line with longer-term averages. Manual and social professions also continued to trend downward, with the decline in social sciences-related roles described as less pronounced but still persistent.

In roles requiring a background in social sciences or law, most categories recorded a drop in vacancies. Significant declines were noted in call centre roles, banking, graphic design and legal professions. Month-on-month increases were limited to areas such as real estate, procurement and human resources. Overall, sentiment in this segment remains subdued, with many categories either continuing to contract or stabilising at relatively low levels.

In science and engineering roles, demand was strongest for ICT systems administrators, health and safety specialists, and research and development staff. However, vacancies for programmers, engineers and construction-related roles declined. Although some IT-related positions have shown signs of recovery in recent months, activity remains low compared with previous years.

The services sector saw a broad-based reduction in vacancies in March. Media-related roles recorded the sharpest drop, continuing a long-term decline. Job postings in education have been decreasing for seven consecutive months, though the pace of decline is slowing. Despite a reduction in vacancies, demand in tourism remains relatively strong, while logistics continues to recover gradually after a prolonged downturn. Freight forwarding roles have shown some growth, in contrast to the wider logistics segment, where vacancies remain limited.

Healthcare vacancies have also been undergoing a correction over the past year, although demand for workers in the sector remains comparatively high.

Overall, the data points to a labour market that is becoming more competitive for job seekers, with limited signs of a near-term recovery in hiring activity across most sectors.

HIH Invest acquires logistics asset in Weiterstadt for institutional mandate

HIH Invest has completed the acquisition of a newly developed logistics property in Weiterstadt, in the southern German state of Hesse, acting on behalf of an institutional investor. The asset was purchased from a joint venture between MB Park Deutschland and Isarkies Wohn- und Gewerbegrund.

The warehouse, located on Dammstraße in the Gräfenhausen district, was finalised in autumn 2025 and provides a total lettable area of 8,630 square metres. The scheme includes 7,586 square metres of logistics and storage space, alongside 529 square metres of office accommodation and 512 square metres dedicated to staff and communal use. The site also offers 69 parking spaces, including electric vehicle charging points.

The building is fully leased under a long-term agreement to MOL Logistics Deutschland GmbH.

“With this acquisition, we are securing a high-quality asset for our investors in one of Germany’s strongest logistics regions,” said Maximilian Tappert, Head of Transaction Management Logistics at HIH Invest. “The property already meets key sustainability requirements and, thanks to its flexible layout, offers significant potential for future use.”

The investor is targeting DGNB Gold certification for the asset, which has been designed with a range of sustainability features. These include an air-source heat pump, rooftop and façade photovoltaic systems, partial green roofing, LED lighting with motion sensors, and dedicated staff amenity areas.

Located within the Rhine-Main region, one of Germany’s primary logistics corridors, the property benefits from direct access to major transport infrastructure. The A5 motorway is reachable within minutes, while both Frankfurt Airport and Darmstadt city centre are within a 20-minute drive.

Advisory services on the transaction were provided by Baker Tilly, which handled legal and tax due diligence, and JT Solutions, responsible for technical and ESG assessments.

Poland Starts 2026 with €1 Billion in Investment Activity as Domestic Capital Gains Momentum

Poland’s commercial real estate investment market recorded approximately €1 billion in transactions in the first quarter of 2026, marking the strongest start to a year since 2022 and indicating renewed activity across the sector.

The volume was supported by a relatively high number of deals, with 26 transactions covering 54 assets, reflecting solid liquidity and continued investor engagement at the start of the year.

Logistics assets accounted for the largest share of investment activity, followed by retail, while the office sector maintained a steady level of transactions, with additional deals still progressing.

“The scale of the volume recorded in the first quarter and the structure of transactions indicate growing readiness among investors to deploy capital,” said Piotr Mirowski. “The increasing number of portfolio and long-term transactions confirms confidence in the fundamentals of the Polish commercial real estate market.”

Portfolio transactions and sale-and-leaseback deals continued to play a significant role in the market, reflecting investor preference for assets with stable income profiles.

Alongside the recovery in activity, the structure of demand is evolving. Domestic investors are becoming more visible, following strong participation in 2025, when Polish capital reached a record share of total investment volume.

“We are seeing a new wave of buyers who are focusing on stabilised, income-generating assets rather than taking on development risk,” Mirowski said. “This is pragmatic capital with a long-term perspective.”

Domestic investors are typically targeting mid-sized assets and increasingly using bank financing, which has become more widely available in recent months.

“The market is being shaped by a new group of investors,” Mirowski added. “In many cases, these are experienced entrepreneurs who have built capital outside the real estate sector and are now allocating it into commercial property.”

Macroeconomic conditions continue to support investment decisions despite external uncertainty. Poland remains one of the faster-growing economies in the European Union, supported by a strong labour market and rising real wages.

“Strong consumption and solid demand fundamentals translate into lower risk on the tenant side,” said Grzegorz Sielewicz. “This supports rental stability and more predictable occupier behaviour.”

At the same time, pricing differences compared to Western Europe continue to attract investor interest, with Polish assets offering relatively higher returns.

Looking ahead, market participants expect further activity during 2026, supported by both domestic investors and a gradual return of international capital.

“We are at the beginning of a longer-term trend,” Mirowski said. “Polish capital is still gaining momentum, and as experience and financial capacity grow, investors are likely to move towards larger transactions.”

The first quarter results point to a market that is not only recovering in terms of volume, but also undergoing structural change, with domestic capital playing an increasingly important role.

Photo: Piotr Mirowski, Head of the Investment Advisory Department at Colliers and Grzegorz Sielewicz, Chief Economist for the Central and Eastern Europe Region at Colliers.

TTC Acquires Office Building in Prague 4 from Česká spořitelna

TTC Group has acquired an office building in Prague from Česká spořitelna, expanding its presence in the commercial real estate sector.

The property, located in Prague 4, offers approximately 25,000 sqm of space across eight above-ground and five underground floors. The transaction was completed on 1 April 2026. Following the acquisition, TTC’s total leasable area exceeds 100,000 sqm, with the overall portfolio value approaching CZK 3 billion.

The building, completed in 2007, is currently occupied by companies from the Česká spořitelna group, which will remain as tenants for a transitional period before relocating to new premises.

“For us, this acquisition represents a combination of stable returns and significant development potential. In addition to the leasing business, we see key value in the opportunity for further development of the data center, where we have strong expertise and growing demand,” said Ivan Strouhal.

Part of the building’s underground space is designated for technological use, which TTC intends to utilise for potential expansion of its data centre capacity.

“The success of this deal stems from the fact that we managed to find a suitable investor for our client’s property, Česká spořitelna. TTC has a clear plan for how to utilize the building, and as a technology group, it was able to appreciate its specific parameters,” said Zdenka Klapalová, whose firm advised the seller.

The location is expected to benefit from the planned development of the Metro D line, including the Olbrachtova station nearby.

“Prague 4 has long been one of the most sought-after business addresses in the capital. With the arrival of the new metro line, its appeal to future tenants will increase even further,” Strouhal added.

Alongside this acquisition, TTC continues to develop its broader real estate activities, including projects such as the Malešice Technology Park in Prague, where a new technology-focused complex is planned.

Romania Eases FDI Framework as It Positions for a New Investment Cycle

Romania’s foreign direct investment (FDI) regime is entering a more pragmatic phase, as recent legislative changes aim to streamline procedures while maintaining safeguards for strategic sectors. According to an interview with CIJ EUROPE, Silviu Stratulat, Managing Partner at Stratulat Albulescu Attorneys at Law, said the evolution of the framework reflects both European alignment and a growing effort to improve the country’s investment appeal.

Romania introduced its FDI screening mechanism in 2022, following a broader European Union initiative to protect critical assets and sensitive industries. While the framework was not among the first in the region, it aligned the country with established regimes in major EU economies and reflected a shift toward greater scrutiny of cross-border capital flows.

In its initial form, however, the legislation created a degree of uncertainty. Broad definitions of sensitive sectors and limited guidance made it difficult for investors to assess whether transactions required notification. In practice, authorities encouraged a precautionary approach, effectively expanding the scope of filings and adding complexity to deal execution.

From a transactional perspective, the introduction of FDI screening extended timelines and increased costs, particularly for mid-sized investments. Despite this, Stratulat notes that it did not deter foreign capital. Instead, investors adapted by incorporating FDI approval into their transaction planning, treating it as a standard step rather than an obstacle.

One of the more effective aspects of the regime has been the ability to initiate filings at an early stage, based on preliminary agreements rather than fully executed contracts. This has allowed investors to run the screening process in parallel with due diligence and negotiations, helping to mitigate delays. In practice, approvals have generally been obtained within a timeframe of around three months.

Recent amendments adopted in March 2026 indicate a shift toward a more investor-oriented approach. The notification threshold has been increased from €2 million to €5 million, significantly reducing the number of transactions subject to review. At the same time, procedural timelines have been shortened and administrative steps simplified, while fees have been reduced, easing the cost burden on investors.

Additional measures include exemptions for certain intra-group reorganisations involving EU and OECD investors, as well as a more streamlined decision-making process. While the effectiveness of these changes will depend on implementation, they signal a clear intention to improve efficiency and predictability.

Stratulat views these developments as part of a broader effort by Romania to prepare for a new investment cycle. In the context of shifting geopolitical dynamics and the prospect of post-war reconstruction in the region, the country is positioning itself to capture increased capital flows. Sectors such as manufacturing, logistics and infrastructure are expected to benefit, alongside a broader reorientation of global investment toward Europe.

Despite these improvements, regulatory predictability remains a key concern. Romania benefits from the stability provided by EU membership, including harmonised frameworks in areas such as competition law, data protection and corporate regulation. Certain sectors, including IT, construction and agriculture, have also maintained relatively consistent policy support.

At the same time, investors continue to face challenges linked to legislative volatility. Frequent use of emergency ordinances, particularly in tax and labour law, creates uncertainty and can complicate long-term planning. Changes are sometimes introduced with limited consultation or short implementation timelines, increasing execution risk.

Administrative consistency also remains uneven. Differences in capacity across public authorities, combined with periodic leadership changes, can slow decision-making and require investors to re-engage repeatedly with institutions.

In a regional context, Romania retains strong fundamentals, including a large domestic market, competitive labour costs and access to EU funding. Growth sectors such as IT, business services, agriculture and energy continue to attract interest, supported by a well-developed academic base.

However, competition from other Central and Eastern European markets is intensifying. While infrastructure development is accelerating and administrative processes are gradually improving through digitalisation, investor perception continues to play a role. Although progress has been made in strengthening the rule of law, historical concerns still influence how the market is viewed externally.

Overall, Romania’s FDI framework is moving toward greater alignment with international standards. The latest reforms suggest a shift from control toward facilitation, as authorities seek to balance security considerations with the need to attract sustained foreign investment.

Oxygen Park Signs Five Lease Agreements in Warsaw

Oxygen Park, an office complex located on Aleje Jerozolimskie in Warsaw, has secured five lease agreements covering approximately 2,400 sqm, including renewals with existing tenants and two new occupiers.

The transactions were completed by Golden Star Estate and include both office and service space.

Among the new tenants is Puerta, which has taken over the operation of the SZAWA conference centre, leasing more than 650 sqm. The space includes training rooms and a conference area with capacity for up to 200 people. Vicziunai-Pol Sp. z o.o., part of the Vičiūnai Group, has also joined the complex, leasing around 140 sqm of office space.

Three existing tenants have extended their leases. These include Parker Hannifin, which occupies more than 750 sqm, as well as Diasorin Poland, with approximately 500 sqm. Nieruchomości Plus has also renewed its lease, maintaining around 300 sqm.

“The recent period has been extremely intensive for Golden Star Estate. At Oxygen Park alone, we signed five agreements, welcoming two new companies to the complex and successfully renegotiating the presence of three of our existing tenants,” said Ewa Dragunajtys. “Each such agreement confirms that Oxygen Park is a place where companies feel comfortable, grow their teams, and effectively pursue their business plans.”

The leasing processes involved several advisory firms, including Brookfield Partners, Cushman & Wakefield, DORE Consulting and Immo Broker.

Oxygen Park comprises two six-storey buildings with a total leasable area of more than 18,000 sqm. The complex offers office space alongside tenant amenities, including a courtyard, café and parking facilities. It is located in Warsaw’s western business district, with access to public transport and major road connections.

GCC Earnings Slow as Key Sectors Weigh on Profitability in Late 2025

Corporate earnings across the Gulf markets declined in the fourth quarter of 2025, reaching a three-year low as weaker performance in key sectors weighed on overall profitability.

The drop in earnings was recorded both on a quarterly and annual basis, with most markets reporting lower results. Saudi Arabia accounted for the largest share of the decline, reflecting pressure across core industries, while Abu Dhabi and Dubai were among the few markets to post growth.

The downturn was driven primarily by the performance of energy and materials companies. Lower earnings in these sectors reflected a combination of softer pricing conditions and base effects following stronger results in previous periods. Telecommunications and consumer-related segments also reported weaker outcomes, partly due to the absence of one-off gains that had supported earlier comparisons.

Financial institutions provided partial support to overall results. Banks reported higher profits compared to a year earlier, although performance weakened on a quarterly basis as rising costs and higher provisioning levels affected margins. Real estate companies recorded growth, while utilities returned to profitability.

Despite the decline in earnings, total revenues across listed companies continued to expand, reaching a new high for the region. However, this growth did not translate into higher profits, pointing to margin pressures across several sectors.

The quarterly results were also accompanied by softer investor sentiment. Market data indicates reduced trading activity and net foreign outflows during the period, suggesting a more cautious approach among investors despite ongoing structural reforms and diversification efforts across GCC economies.

On a full-year basis, corporate profits declined for a third consecutive year, underlining the continued influence of commodity cycles and sector-specific dynamics on regional performance.

Overall, the data points to a mixed picture. While underlying economic activity and investment pipelines remain intact, earnings are increasingly shaped by sector-level pressures, cost dynamics and changing investor behaviour.

Skanska to Deliver Residential Project in Bratislava for EUR 45M

Skanska has signed a contract to build a residential complex in Bratislava with a total value of EUR 45 million (approximately SEK 480 million). The project will be included in the company’s European order bookings for the second quarter of 2026.

The development, known as Matadorka Living, is being carried out for Nová Matadorka, part of the OPTIMAL DEVELOPMENT group. The scheme represents the next phase of the wider residential project.

The contract covers the construction of five residential buildings ranging from nine to ten storeys. The project will deliver 229 apartments, 22 commercial units and two levels of underground parking.

Located in the Petržalka district, the site is part of a former industrial area that is being redeveloped into a mixed-use urban neighbourhood combining residential space with supporting amenities.

Construction is scheduled to begin in September 2026, with completion planned for 2029.

Russian Fossil Fuel Revenues Rise Despite Sanctions, CREA Analysis Shows

Russia’s fossil fuel export revenues increased significantly in March 2026, highlighting the continued resilience of its energy sector despite ongoing Western sanctions, according to a new analysis by the Centre for Research on Energy and Clean Air.

The report shows that Russia’s export revenues rose by 52% month-on-month to approximately EUR 713 million per day, driven primarily by higher global energy prices rather than a sharp increase in export volumes.

Crude oil remained the main source of revenue, with earnings from oil exports rising sharply as prices increased. At the same time, export volumes grew more modestly, indicating that price dynamics played a larger role in revenue growth.

The analysis highlights the continued importance of Asian markets. China and India remained the dominant buyers of Russian crude oil, together accounting for the majority of exports. In March, imports by India increased significantly, while China maintained its position as the largest single purchaser of Russian fossil fuels.

Despite sanctions, Russia continues to rely heavily on maritime transport networks that operate outside traditional regulatory frameworks. The report estimates that nearly half of seaborne oil exports were transported by so-called “shadow fleet” tankers, which are often used to bypass restrictions.

At the same time, Europe remains a relevant buyer in certain segments. The European Union continues to import a significant share of Russia’s liquefied natural gas, accounting for close to half of total LNG deliveries in March.

The report also points to disruptions in export logistics linked to geopolitical developments. Ukrainian drone strikes on key Baltic Sea ports temporarily reduced oil shipments, although the impact on overall revenues was offset by rising global prices.

According to CREA, stricter enforcement of existing sanctions could significantly reduce Russia’s export income. Estimates suggest that full compliance with price caps could have lowered revenues by several billion euros in March alone.

The findings underline the continued complexity of global energy markets, where sanctions have reshaped trade flows but have not fully curtailed Russia’s ability to generate income from fossil fuel exports.

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