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Scholz says budget consultations ‘on track’ after lower tax estimate
German Chancellor Olaf Scholz (L) gesturing at the Federal Chancellery during the visit of the President of the Republic of Moldova. Fabian Sommer/dpa
German Chancellor Olaf Scholz does not expect the new estimate of lower tax revenues to have any serious impact on deliberations over the next federal budget.
“As far as the issue of budget consultations in Germany is concerned, we are on schedule,” Scholz said at a press conference with Moldovan President Maia Sandu on Friday, in response to a question from journalists.
It was not so surprising that the fiscal estimate “was not so favorable”, he said, adding that the expected results had already been taken into account.
According to the German Chancellor, the budget project, together with measures to stimulate the economy, will still be approved at the beginning of July and submitted to parliament. There is a “very concrete agenda” for this, Scholz emphasized.
On Thursday, fiscal estimators came to the conclusion that federal, state and local governments will raise about 995 billion euros ($1.08 billion) next year – almost 22 billion euros less than expected in the fall.
The Cabinet decision is expected at the last meeting before the summer parliamentary break on July 3.