The German Finance Ministry has decided to introduce a temporary budget for the beginning of 2025. The reason for this step was the actual collapse of the coalition government of Chancellor Olaf Scholz and preparations for early parliamentary elections scheduled for February 23.
Finance Minister Joerg Kukis has initiated a special anti-crisis mechanism for managing public spending. The Interim Government will manage finances based on a pre-prepared draft budget until a new administration is formed.
The Interim Budget imposes limits on spending based on legislated commitments that are vital to the country’s work. These include unemployment benefits, child support payments, student scholarships, and the continuation of ongoing or planned construction initiatives.
The need to introduce a temporary budget arose after the coalition parties failed to agree on a budget for 2025 in November. As a result, Chancellor Scholz dismissed Christian Lindner from the post of Finance minister. It is expected that on Monday the deputies will approve the procedure for the dissolution of parliament, which will create conditions for early elections.