Coalition agreement
BUND is supposed to use municipalities in the case of old debts
Many municipalities are crushed by high debts. The federal government wants to help – but only if the countries do it too.
Union and SPD want to help municipalities with overwhelming old debts. As can be seen from the coalition agreement, the federal government is intended to contribute 250 million euros per year to the federal states. The federal government should take part in half when countries take over excessive cash loans from their municipalities.
Because of their high debts, many cities and municipalities were hardly able to invest roads in the renovation of ailing gyms, schools in need of renovation and swimming pools or broken. Above all, the so -called cash loans, which are actually only intended as a kind of overdraft facility for short -term bridging, are particularly problematic. According to the Ministry of Finance, in Germany’s municipalities over the years of old debts of around 31 billion euros.
At the same time, according to the coalition agreement, the federal government should relieve the donor countries in the case of the country financial compensation – by 400 million euros per year. Herring countries in the system of financial redistribution between the federal states were recently Bavaria, Baden – Württemberg, Hesse and Hamburg.
dpa
Source: Stern
I have been working in the news industry for over 6 years, first as a reporter and now as an editor. I have covered politics extensively, and my work has appeared in major newspapers and online news outlets around the world. In addition to my writing, I also contribute regularly to 24 Hours World.
