Bild reported on the risk of bankruptcy of German cities due to budget deficits
German cities and municipalities had accumulated debts of more than 170 billion euros by last year. According to forecasts for 2025, the deficit may amount to about €30 billion more, which puts almost every city on the verge of financial collapse. This was reported by the Bild newspaper on November 24.
The largest deficit is in Berlin — 4.3 billion euros, followed by Cologne, Dusseldorf and Dortmund. The main reason is the reduction in income due to the industrial crisis, while spending continues to rise, primarily on social needs.
"If everything continues in the same spirit, municipalities will have no choice but to radically reduce: swimming pools, youth clubs, museums, club financing — everything will be the subject of discussion. A vicious circle, because then residents will see poverty right on their doorstep," the publication says.
It was clarified that the mayors of 13 state capitals appealed to German Chancellor Friedrich Merz with a request for financial support. The Chancellor called on municipalities to be more careful about spending and adjust budget items.
Earlier, on August 24, it was reported that Merz, speaking at a regional conference of the party, said that Germany could no longer afford the existing welfare system. According to him, spending on social programs is "out of control" and endangers the sustainability of the budget.
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