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The plan of the German Ministry of Finance to reduce the social benefits of citizens to solve the budget crisis

The German Ministry of Finance announced a plan to reduce social benefits for citizens and reduce international aid in order to close the 2024 budget gaps caused by the ruling of the German Federal Constitutional Court.
– International news

According to the report of the international group Tasnim news agency quoting German Federal Finance Minister Christian Lindner mentioned specific areas of savings to close the 2024 budget gaps. He said in an interview with Funke Group newspapers: “We have to deal with three big spending blocks.” He devotes himself to social issues. We will see how we can be more specific in this area. For example, the goal here is to get people into work faster – thereby reducing social costs for the government. Lindner said: For example, there is an increase in jobs for Ukrainian refugees.

He also announced the revision of social benefits and citizenship money regulations and said: The inflation rate in It is now progressing significantly better than expected when the standard rate was set for 2024. Lindner said: “When looking at the gap between wages and social benefits, we should therefore look at the adjustment process; Because there should always be a significant difference whether someone works or not.

This German official from the Liberal Democratic Party also calls international aid as He mentioned the second area of ​​savings and said: Germany is at the forefront of development cooperation and international financing of climate. “We can happily stay in first place,” Lindner said. But maybe it is possible to reduce the distance to the second place. He added: “The goal can be a fairer distribution of the international burden.” questioned whether they actually achieve their goals or are outdated. At the same time, he said: it is still too early to name some programs. This will lead to the implementation of budget programs in the last few meters of the road. At the same time, he said: “However, there will be no cuts in the defense sector: the defense budget will remain intact,” Lindner explained.

“Lindner” He did not want to rule out completely re-suspending the debt brake for 2024. When this German official was asked about this, he said: I am happy to listen to the arguments. However, he is “not yet” convinced that the new suspension can be justified in a constitutionally enforceable manner. In his opinion, the situation of the energy markets as a result of the war in Ukraine is no longer considered an emergency. Therefore, the brake on electricity and gas prices can expire together with the economic stabilization fund on December 31.

In another part of his speech, Lindner discussed the efforts of the United Christian Parties to hold elections. He rejected prematurely and further told Funke newspapers: This is not a time for gamblers; For those flirting with government crises as a result of partisan tactics, he recommends taking a look at the Netherlands. Right-wing populists became the strongest force in the parliamentary elections there.

It is necessary. However, the three coalition partners have the responsibility to prevent damage to the country and advance its modernization. In this country, by announcing the end of the electricity and gas price braking plan from the beginning of next year, he also emphasized that the government will not leave the citizens alone in this situation.

Law Court The federal government recently declared void the reallocation of 60 billion euros in the 2021 budget. The money was approved as a corona loan, but has since been used to protect the climate and modernize the economy. At the same time, the judges decided that the government is not allowed to use the emergency loans for the following years in this way. The federal government has done this in several special funds, including the energy price cap. Therefore, unlike the previously planned, the Bundestag cannot decide on the next year’s budget in the coming days.

Thus according to the court ruling According to the Federal Constitution on the 2021 supplementary budget, the federal government will have a deficit of 60 billion euros over the next four years. But here the question is what should be done now and in what areas should the government save?

The results of the latest survey show that more than half of Germans (53%) fear that the current budget crisis will have negative consequences for their financial situation or their family.

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