Bundestag Approves €500 Billion Fund for Infrastructure and Climate Projects

Berlin Senate urged to act swiftly as Bundesrat prepares final vote on historic credit package.

The Bundestag has approved a €500 billion special fund, exempt from the debt brake, to finance infrastructure, climate protection, and economic transformation initiatives.
Berlin is expected to receive up to €500 million annually from the fund over the next 10-12 years, with the potential to take on €675 million in new debt annually.
SPD-Fraktionschef Raed Saleh has called on the Berlin Senate to prioritize proposals for affordable housing, infrastructure improvements, and enhanced rail connections, including links to Poland.
The Bundesrat is set to vote on the package on Friday, March 21, 2025, with Berlin's governing mayor confirming the city's support for the initiative.
The funds are seen as a vital opportunity to address Berlin's budget challenges, reduce planned cuts for 2026 and 2027, and drive long-term economic growth.