Business Location Germany
Reforms Underway to Speed German Government Procurement
The governing cabinet has put forth legislation to make the public tendering process more efficient and fair.
Aug 14, 2025
Minister for Economic Affairs and Energy Katherina Reiche is touting the initiative as a way of eradicating bureaucracy and making government procurement simpler, quicker and more flexible.
The proposed new rules would
- see the upper limit on the value of direct government contracts increased from EUR 15,000 to EUR 50,000
- accelerate review procedures to avoid procurement delays
- eliminate mandatory regulations concerning sustainability while creating special procedures for climate-friendly products
- increase opportunities for SMEs, start-ups and innovative companies to win government contracts
- create temporary exceptions for defense procurements.
The Ministry for Economic Affairs and Energy also intends to introduce additional legislation raising the upper limit on the value of direct procurements from innovative start-ups to EUR 100,000.
- Business Location Germany
- Business Location Germany
