Overview

• The Bundesrechnungshof told the Bundestag’s budget committee that nearly one in three euros planned for 2026 would be borrowed.
• Auditors project federal debt could reach about €2.7 trillion by 2029 and interest costs rise toward €67 billion, tightening future fiscal capacity.
• The draft reprioritizes spending by cutting the regular transport budget by about €10 billion and increasing defense by roughly €20 billion, while Autobahn GmbH reports a €15 billion shortfall for 2026–2029.
• Finance Minister Lars Klingbeil defends the approach as investment that can spur growth and leave more room to maneuver than strict abstention from borrowing.
• The watchdog calls the proposed savings and reforms insufficient, warning of medium‑term gaps of roughly €34 billion in 2027 and €74 billion in 2029.