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Bavaria Unveils €168 Billion Two-Year Budget With No New Debt

Opposition lawmakers say the plan sacrifices families, enlarging discretionary funds.

Overview

  • Finance Minister Albert Füracker tabled the 2026–27 draft in the Landtag for debate, with a final vote expected in April.
  • To keep borrowing at zero, the government plans to use about €4.9 billion of reserves and draw roughly €7 billion from the federal special fund over the next two years.
  • Investment priorities include about €1 billion for universities, around €1.5 billion for schools and Kitas, €1 billion for municipal housing, roughly €550 million for digitalisation, and about €260 million for hospitals, with most special‑fund money routed to local projects.
  • The cabinet canceled the €3,000 Kinderstartgeld and redirected funds to daycare expansion worth roughly €3 billion over five years, while civil servants would see the next pay increase deferred by six months.
  • Critics highlight contested items—€10 million for a Munich tennis club, €8 million for a reptile station, and €200 million for police procurement—and condemn the Fraktionsreserve rising to €110 million, as petitions and a protest take shape.