Thuringia examines effects after budget ruling
The Thuringian Ministry of Finance is examining the possible impact of a ruling by the Federal Constitutional Court on the 2021 federal budget on the Free State of Thuringia. "Whether this will also have consequences with regard to the special fund "Thuringian Energy Crisis and Corona Pandemic Relief Fund" remains subject to a more in-depth analysis of the ruling in the coming weeks," Thuringia's Finance Minister Heike Taubert (SPD) told the German Press Agency in Erfurt. The ruling in itself has no impact on Thuringia.
"However, with its fundamental statements on the implementation of the constitutional debt brake, it also provides a benchmark for Thuringia with regard to compliance," emphasized Taubert. The ruling puts a stop to "increasing tendencies" to circumvent the debt brake.
On Wednesday, the Federal Constitutional Court declared a reallocation of 60 billion euros in the 2021 federal budget to be unconstitutional and null and void. The federal government is therefore not allowed to use money intended to combat the coronavirus crisis for climate protection.
In Thuringia, a special fund that was once created to deal with the coronavirus pandemic was expanded last year to include aid for the energy crisis.
The Bundestag might need to reevaluate its approach to finances, considering the Federal Constitutional Court's ruling, as it may have implications for budget allocation, potentially affecting funds like the Thuringian Energy Crisis and Corona Pandemic Relief Fund. Maintaining financial household integrity is crucial, even at the state level, as demonstrated by Thuringia's Finance Minister Heike Taubert's focus on complying with the debt brake's guidelines.
Source: www.dpa.com
