Overview

• The budget lowers the investment quota from 16.8 percent in 2024 to 13.3 percent in 2025 and 12.6 percent in 2026.
• The CDU-SPD minority government secured support from the Greens and Left Party after agreeing €250 million in targeted amendments.
• Industry and trade chambers warned that the reductions in future-oriented spending threaten long-term growth and infrastructure development.
• Funds for cycle paths on state roads were trimmed from €5 million to €1.1 million, drawing criticism from the German Cyclists’ Association over stalled projects.
• Detailed June 28 allocations outline funding for police, health, education, transport and cultural programs under the new budget.