Bloomberg reports that Germany aims to lift new borrowing to 240.2 billion euros this year, taking on just over 60 billion euros more debt than initially planned to help mitigate the impact of the coronavirus crisis.
Heavy government spending is set to continue as the country grapples with a fresh wave of the pandemic. Finance Minister Olaf Scholz will propose suspending constitutional borrowing limits for a third straight year when he presents a draft 2022 spending plan alongside his supplementary 2021 budget on Wednesday.
Scholz is targeting new borrowing of 81.5 billion euros in 2022, the officials said. That would take the total for this year and next to more than 320 billion euros.
According to the two officials, German debt will swell to about 75% of GDP this year. The mid-term financing plan through 2025 foresees a restoration of the debt brake from 2023, they added.
© 2000-2021. All rights reserved.
This site is managed by Teletrade D.J. Limited 20599 IBC 2012 (First Floor, First St. Vincent Bank Ltd Building, James Street, Kingstown, St. Vincent and the Grenadines).
The information on this website is for informational purposes only and does not constitute any investment advice.
Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.
Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.
Please contact our PR department if you have any questions or need assistance at email@example.com.