Finance Minister Scholz Expects Increased Expenditure in 2019

The federal government approves the draft budget for the coming year. And again, it includes record spending without new debt.

Berlin. Because of the late formation of the government, the federal budget for 2018 has just been sealed in Parliament because yesterday the federal government has already passed the draft budget for the coming year. And again, it contains record problems without new debts. "The government is able to act," said Finance Minister Olaf Scholz (SPD) at the presentation of the data, which in addition to the budget for 2019 and financial planning to 2022 include. About his figures Scholz came downright raving. "I plan to invest in the future at a record level," he said, adding: "Looking forward, fair and responsible." This triad also determines its budget. Even the coalition partner has doubts. The backgrounds:

Basic Values ​​

The Federal Government intends to spend a total of 356.8 billion euros in 2019 – 13 billion euros more than the year In progress. By 2022, the budget is expected to reach nearly 376 billion euros. And this without new debt. The "black zero" should therefore continue to exist beyond the current legislative period. Due to expected stable economic growth, total debt in the coming year will again fall below the 60% mark in terms of gross domestic product. Thus, Germany maintains the stipulation of the Maastricht Treaty on the EU.

Investments

The federal government wants to spend 37.9 billion euros in investments in 2019. On paper, this is an increase of 500 million compared to 2018. But there's one thing: the bill for 2018 does not include funds for the digital fund that remains to be set up. With the fund, current year 's investments rise to just under 40 billion euros. In this way, less investments will be made in 2019. This also applies to the time afterwards.

Pension

The most important items of the 2019 budget are tax subsidies of about 98 billion euros for the pension scheme. By the year 2022, they should reach 110 billion. Just to keep the pension level stable at 48% by 2025, without increasing the contribution to more than 20%, a "precautionary demographic" fund should be created starting in 2021, which starts with two billion dollars. 39; euros. However, given the many performance improvements expected, from the level of the pension to the mother's pension at the land rent, it remains to be seen whether this money is sufficient.

Criticism

In addition to the opposition, which called the budget "budget of the past", the coalition partner also expressed concern. The investment quota of 11.6 this year fell to 10.1% in 2022, previously calculated the head of household of the Union fraction, Eckhardt Rehberg. You must always talk about it. Even with the retirement expenses and especially the "demographic precaution", the political leader of the CDU needed a discussion. One should "never forget that which can only be distributed first," says Rehberg.