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Opposition criticizes state government's budget planning

The state is planning new debts and a massive austerity program. The finance minister and the black-green coalition defend the approach.

The state of NRW is planning billions in new debt. (Arhcivfoto)
The state of NRW is planning billions in new debt. (Arhcivfoto)

Debt and austerity measures - Opposition criticizes state government's budget planning

The North Rhine-Westphalia opposition in the state parliament has criticized the planned debts and the Sparkurs in the budget of the black-green state government. "It's incomprehensible that the entire budget collapses with a two percent decline in sales," said SPD deputy Alexander Baer in a current hour on request of the AfD about the budget situation.

"I find it despicable that this was not planned in advance in the budget but that now, with the help of a disposable credit that has no added value other than holes, the state budget is supposed to be saved." The parliament only received information about the supplementary budget after the press, criticized Baer.

Debts despite record budget

Finance Minister Marcus Optendrenk (CDU) presented a supplementary budget and the draft for 2025 on Tuesday. In it, the state uses the so-called conjunctural component for the first time in the face of the difficult budget situation. Through this exception to the debt brake, the state government plans to borrow a total of more than three billion euros for this and the coming year.

Despite a budget volume of approximately 105 billion euros in 2025, which is about three billion euros higher than the previous year, the departments will have to save around 3.6 billion euros according to Optendrenk's words. There will be no additional staff for all ministries. Furthermore, there will be a hiring freeze.

Several federal states also use the conjunctural component

It is not logically comprehensible what "these fine-tuned savings measures mean for all the departments," when the minister wants to compensate for revenue difficulties with new debts one by one, said FDP deputy Ralf Witzel. He also criticized that the minister withheld information from the parliament and communicated instead through the media. This criticism was also expressed by AfD deputy Hartmut Beucker.

Minister Optendrenk responded: "Criticizing is part of the job. That's also your role, but it could also be that you make a suggestion on how to do it better." His party colleague Olaf Lehne explained: "The supplementary budget 2024 allows us to maintain the current course despite the extremely difficult framework conditions. We are moving within a legally permissible and necessary framework in these times."

Green deputy Simon Rock also defended the approach: "A building block for solving the accumulated budget problems are savings in all departments. But not only that. A part is also the use of the conjunctural component. That's a given." Thirteen federal states and also the federal government use this conjunctural component, said Rock.

  1. The CDU, being a part of the black-green state government in North Rhine-Westphalia, has implemented an austerity policy, leading to debates regarding the budget planning.
  2. The opposition in the state parliament, including parties like the SPD and AfD, have raised concerns over the reliance on the 'conjunctural component' in the budget, citing its potential impact on the economic component.
  3. In response to criticism, Finance Minister Marcus Optendrenk defended the use of the 'conjunctural component', stating that it allows the state to maintain its course amidst difficult framework conditions.
  4. Hausholds across North Rhine-Westphalia may be affected by the state government's savings measures, as there will be no additional staff for all ministries and a hiring freeze has been implemented.
  5. Marcus Optendrenk addressed the criticism directed at him for withholding information from parliament, stating that it is a part of his role, and that better suggestions for improvement are welcome.
  6. The AfD deputy Hartmut Beucker shared similar criticisms, emphasizing the importance of transparent and timely communication from the government to parliament regarding budget matters in Düsseldorf.

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