The leaders of Germany’s coalition government have agreed on a new compromise on the 2025 budget, a government spokesman said in Berlin on Friday.
“The debt brake requirements in the constitution remain in place,” the spokesman said, referring to strict rules against ordinary budget deficits.
The new deal – a month after coalition leaders including Chancellor Olaf Scholz reached a preliminary agreement in early July – includes the reallocation of funds for state-owned railway company Deutsche Bahn.
This will reduce the planned government spending deficit by €4.5 billion ($4.95 billion) to €12 billion in 2025.
