Continuation: The new Berlin: A city becomes a Metropolis

When the Berlin Wall fell, the Berlin region became the newest conurbation in Europe more or less overnight. But as a result of the division of Germany and Europe which lasted almost half a century, this city in the centre of the continent was in an extreme political and geographical border situation. The political changes in Europe restored Berlin to its former position in the middle of Europe.

Berlin is situated on the east-west axis from Paris to Warsaw/Moscow and on the north-south line from Stockholm to Prague/Vienna/Budapest. It has been transformed from the symbol of European division to the place where East and West Europe meet. The growing economy in Central and Eastern Europe finds a bridge to the western economy in Berlin. Companies with world-wide operations make use of the many institutions located in Berlin and the expertise that is concentrated here. Berlin’s scientific, research and cultural institutions represent one of the invaluable strengths of the city.

Berlin’s position as the new home of the German parliament and government does not just mean moving from the Rhine to the Spree. The federal states and regions of Germany have a new and cosmopolitan forum here. And for the central associations of German business and industry, the political centre offers the many possibilities of a city with a major international presence.

The urban density of the city area does not restrict the lifestyle of the people who live here. Germans from all over the country live here, and there are more than 430,000 people from 184 different nations. Lower rents for residential accommodation in the eastern boroughs and the greater supply of jobs in the western boroughs led to a new mixture of the population soon after unification. Furthermore, since 1993 (3,475,000) the population has seen a continued slight decline (1998: 3,398,000): Favourable living conditions and lower priced building land in the surrounding areas led many people to move out of Berlin.

The reduction in tax income as a result of this development is causing problems for the public finances of the federal state of Berlin. On the other hand, the reduction in the population has had a positive effect on the market for residential accommodation in Berlin. The supply of affordable apartments has never been more abundant.

Berlin has also become a city of commuters. Over 100,000 people from Brandenburg travel to work in Berlin every day, and there is a growing trend in the other direction, with about 50,000 Berliners travelling to work in Brandenburg.