Overview

• Planned federal investment rises from €115.7 billion in 2025 to €126.7 billion in 2026, targeting infrastructure, schools, childcare, hospitals, rail and local transport.
• The government frames the push as securing jobs and bolstering Europe’s resilience, with continued funding increases for the Bundeswehr.
• Klingbeil says pandemic, energy and Ukraine‑related borrowing must be repaid and signals spending reviews, welfare efficiency gains and anti‑fraud measures.
• He warns of a structural hole exceeding €30 billion in the 2027 financial plan and prepares lawmakers for difficult decisions in the coming months.
• Opposition parties accuse the coalition of using debt‑funded special pots and warn of social costs, while Greens press for more support to municipalities and social insurance.