Overview
- The budget committee approved roughly €8 billion in additional borrowing, taking planned 2026 new loans to about €98 billion to preserve a roughly €10 billion reserve.
- Total federal spending is projected at about €640 billion, with the core budget rising to €525 billion and overall new debt seen exceeding €180 billion.
- Lawmakers earmarked extra funds including €3 billion more for Ukraine, a €3.2 billion loan to long‑term care insurance, and €7 billion reserved for a state stake in grid operator Tennet.
- The government bills 2026 as a year of record investment, while opposition parties criticize the reliance on debt‑financed special funds as misuse.
- Germany’s Council of Economic Experts warns that less than half of the touted investment is firmly planned and projects only 0.9% GDP growth next year, as the Bundestag prepares a vote later this month.