German Economy Minister Robert Habeck canceled his trip to the 28th UN Framework Convention on Climate Change (COP28) Conference of the Parties held in Dubai upon the request of Chancellor Olaf Scholz due to the budget crisis in the country. The publication reports that Picture.
Vice-Chancellor Robert Habeck (54, Green Party) canceled the planned trip to Dubai and the world climate conference to be held in the region on the evening of December 4, at the request of Federal Chancellor Olaf Scholz (SPD). This was due to the current budget crisis.
Formerly German Ministry of Finance frozen Budget for additional government spending until the end of 2023. This will affect almost all of the budget allocations of the country’s various ministries, including the government’s measures to maintain energy and electricity prices, as well as the financing of the economic stabilization fund (WSF). In order not to impose an unnecessary burden on the budget, additional payments can only be made in exceptional cases and after the approval of the Ministry of Finance. The other day, the Ministry of Finance presented the draft supplementary budget for the current year, which must be approved by the country’s parliament.
Such changes were caused by an earlier decision of the German constitutional court, which declared illegal the redistribution of 60 billion unclaimed loan funds from the 2021 supplementary budget to the climate protection fund to combat the coronavirus pandemic. The court relied on the existing “debt brake” rule, which does not allow the state’s debt budget to be exceeded.
The government will be able to postpone the debt brake and access additional budget funds again if it declares an emergency for the whole of 2023 or carries out legal reform. The government is now asking parliament to declare a state of emergency.
Evaluating the 2024 budget draft, Minister of Finance Christian Lindner said that he expected a deficit of 17 billion euros.
Previously in Germany sorted extremist youth organization “Alternatives for Germany”.
Source: Gazeta
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