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Germany Won’t Be Able To Get Out Of The Epidemic As Planned

Germany won't be able to get out of the epidemic as planned. The government will borrow 401 billion euros to recover the negative effects of the epidemic.

Yazar: Elif Dinçer

Yayınlanma: 28 Eylül 2020 23:58

Güncellenme: 3 Kasım 2024 15:59

Germany Won’t Be Able To Get Out Of The Epidemic As Planned Germany won’t be able to get out of the epidemic as planned. The government plans to borrow a total of 401 billion euros this year with the aim of negatively impacting the coronavirus tax revenues and encouraging economic recovery. It has been announced that Germany will issue more debt than planned in order to finance the incentives announced due to the coronavirus epidemic in the last quarter of 2020. In the statement made by the German Finance Agency, which carries out the borrowing and debt management of the country's government, it was stated that 50.5 billion euros of debt will be issued between October and December. In December 2019, the expectation for the last quarter of this year was for a 44.5 billion euro borrowing. "The Covid-19 outbreak has a significant impact on the revenues and expenditures of the federal budget and its private assets," the German Finance Agency said in a statement. In addition, it was stated that the second green bond with a 5-year maturity and 5 billion Euros will be issued in October within the scope of stepping into the sustainable finance market. The German government plans to borrow a total of 401 billion euros this year as the coronavirus epidemic negatively impacted tax revenues and to encourage economic recovery. The expectation announced in December last year was that there will be 218 billion euros of borrowing for this year.
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