Bild and Spiegel report about the critical financial situation of the German Government.
According to Bild, the German budget is missing EUR 171 billion. Expenses have been rising and there is no plan yet to cover this additional deficit.
The extra-constitutional debt mechanisms for army and infrastructure cannot be called to help for the regular budget. While the army and infrastructure spendings are exempt now, after a highly criticized attack on the German Constitution, from debt ceilings, the regular budget cannot exceed the constitutional debt limits.
Therefore, the current coalition government rang the alarm bells. There is not enough money available, neither by debt nor by increasing taxes, to fill in the monstrous gaps. The German Finance Minister calls all and every ministry, administration, department to save on expenses. A conflict in the coalition is certain to develop.
Germany is questioned if the new debts of trillions can be afforded. The interest payments on such new debts will be higher than other budget items and will hammer further on Germany’s capability to engage in reforms, new important policies and urgent changes, in particular, away from the green-socialist ideological catastrophe.
The actual discussions remind budget issues of Italy, Greece or other high debt countries. The savior of these countries was always inflation. Will Germany go the inflation way to tackle its debt and budget crisis?
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