Germany Sees Higher Tax Revenue But No Fiscal Leeway
German Finance Minister Lars Klingbeil reports higher tax revenue projections through 2030, but warns that ongoing budget consolidation leaves no new fiscal leeway. Economic growth is now forecast at 1.3 percent for 2026.
Germany expects €43.4 billion ($48.6 billion) in additional tax revenue through 2030, but the finance minister said the windfall will not create new fiscal leeway. The upgraded outlook follows years of stagnation in Europe's largest economy. Officials face a €22 billion budget shortfall by 2028 despite stronger growth projections.
