On September 24, 2025, the 2025 State of Business Report, prepared by the D.C. Policy Center for the DC Chamber of Commerce, was cited by the Washington Informer:
To quantify the economic and business activity, the chamber released the 2025 State of Business Report: Investing in Growth, which includes data on commercial performance and employment of the District.
The 16-page report’s executive summary said that while the District continues to be the economic engine of the Washington metropolitan area— despite the adverse effects of the COVID-19 pandemic— the downtown corridor and commercially driven areas such as Georgetown are enduring office vacancy rates of 20% and more.
The annual report also noted that the number of business establishments has dropped 66% from 2021 to 2023 and business applications from their highs early in the pandemic.
The unemployment rate in the District sits at 5.8% and the business leaders surveyed say by a margin of 60% that the city’s economy will likely get worse in the coming months.
In essence, the summary said that a pro-growth agenda must be adopted by the city’s political leadership to offset any economic slowdown.
“To secure long-term success, the District must pivot from office-centric development toward an economy that encourages experimentation, fosters innovation, and powers job growth,” the report said. “Investments in the vibrancy of the city will help attract talented residents, workers, and businesses— increasing the District’s chances to emerge as a leading innovation or technological hub.”
Specifically, the report called for performance-based tax incentives to encourage job growth, diversifying the District’s economy with a robust workforce training component, fostering university-linked innovation, simplifying permitting, regularly reviewing regulations and including economic impact analysis in policymaking and investing in workforce and affordable housing for workers and continue promoting downtown as a livable option.
“These strategies offer a roadmap for D.C. to build a more diverse, competitive, and dynamic economy,” the report said. “By enacting these policies and leveraging the city’s existing strengths— a talented workforce, an array of respected research institutions, and a rich collection of civic assets— the District can reposition itself as a leading city characterized by efficiency, innovation, vibrancy, and growth.”
Read More: D.C. Chamber of Commerce Hosts 2025 State of the District
Additional reading: 2025 State of Business Report: Investing in growth