Connect with us

Hi, what are you looking for?


The Germans are in big trouble. They have postponed negotiations on the budget

The Germans are in big trouble. They have postponed negotiations on the budget

The picture and information provided by Reuters point to the fact that there is a problem not only in transferring the remaining funds of 60 billion euros from the anti-epidemic fund to climate protection and industrial policy resources, which means a budget gap of between 10 and 20 billion euros. Annually in the coming years, but also with more than 29 other special budget funds on which last week’s Constitutional Court decision will likely be extended.

In this regard, the Karlsruhe Board of Directors decided that resources from these special funds cannot be transferred only using innovative solutions, and that transparency rules and the constitutional debt brake rule must be observed.

For this reason, it is likely that in the event of this year’s budget, the German coalition parties will suspend the debt brake rule, which allows a deficit of a maximum of 0.35% of GDP, and the German government will work quickly to prepare an additional budget for this year’s budget. Year 2023. The big question is whether this suspension could also take place in the case of the 2024 budget, and therefore whether the justification for the necessity of doing so due to an “exceptional emergency” is valid for two consecutive years.

Industrial organizations and major foreign investors (such as Intel and TMSC chip factories) are urging the government to clarify the scope of its budget and whether or not those involved can rely on the promised support. According to information from the news agency, the German government wants to respect the support contracts for Intel and TMSC, but at the same time, the government is expected to close the Economic Stabilization Fund worth 200 billion euros at the end of this year. The spending freeze came into effect for most items. This may even affect the eight billion euros in German aid allocated to Ukraine, but it does not affect the German military development program worth one hundred billion euros, because it is subject to a different set of constitutional rules.

See also  The EU ambassador to Beijing calls for the Chinese Foreign Ministry sanctions in Brussels

Cover image source: Getty Images

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

You May Also Like

Top News

In a harrowing incident that has shaken the community of Lewiston, Maine, a series of shootings on Wednesday evening resulted in a tragic loss...

Top News

President Joe Biden’s abrupt departure from a speech on the U.S. economy at the White House on Monday sent a ripple of speculation and...


A dangerous application appeared in the Apple App Store disguised as a known program. reported the Based on TechCrunch article. Dangerous app in...


Chinese scientists have discovered a little-known type of ore containing a rare earth metal highly sought after for its superconducting properties. The ore, called...

Copyright © 2023 Campus Lately.