Budget verdict: Coalition meets for special session
The black-red-yellow coalition in Saxony-Anhalt will hold a special meeting in Magdeburg on Tuesday. The background to the coalition committee, which has been arranged at short notice, is the impact of the Federal Constitutional Court's budget ruling, as the Deutsche Presse-Agentur learned from coalition circles on Wednesday.
The consequences of the ruling and how to deal with them are currently being examined," said a spokeswoman for the Ministry of Finance when asked. The authority of Finance Minister Michael Richter (CDU) did not comment on the meeting or further details.
On 15 November, the Federal Constitutional Court in Karlsruhe declared the reallocation of 60 billion euros in loans in the 2021 federal budget null and void. They had been approved to deal with the coronavirus crisis, but were to be used for climate protection and modernizing the economy.
This could have an impact on the establishment of the US chip manufacturer Intel in Magdeburg. The German government wants to support this with around 10 billion euros. According to Saxony-Anhalt's Minister President Reiner Haseloff (CDU), around three billion euros are to come from the Climate and Transformation Fund, which is affected by the ruling.
However, Haseloff expressed confidence on Tuesday that the federal government will support the relocation as planned. "I am sure that the federal government will find solutions, because things have to continue somehow in Germany," said Haseloff. There will be further consultations on this in the coming days. "After all, Germany cannot remain in a budget freeze."
The special session of the black-red-yellow coalition in Parliament focuses on the implications of the Federal Constitutional Court's ruling on Finances, specifically the nullification of 60 billion euros allocated for climate protection and economic modernization. This decision might impact the Household budget of Saxony-Anhalt, as around three billion euros earmarked for Intel's relocation in Magdeburg are from the Climate and Transformation Fund.
Source: www.dpa.com
