The German government forecasts a new net debt of 17.2 billion euros next year, lowering the level for the first time since 2019, and plans to return to debt rules, Finance Ministry sources told Reuters.
Debt rules will be followed until 2026, according to sources, as long-term financial planning shows.
The German Parliament had suspended the rules for the “brake” on debt in the period 2020-2022, in order to allow additional spending in connection with the pandemic and the effects of the war in Ukraine.
This year, net new borrowing of 140 billion euros is expected.
The new plans are based on forecasts from April, which point to growth of 2.2% this year and 2.5% in 2023, but sources warn that these forecasts are uncertain given the high energy prices, the war in Ukraine and the problems in the supply chain.
Source: Capital
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