German Budget Committee Approves 2026 Budget

German budget committee approves 2026 budget

Overview of the 2026 Budget

By Maria Martinez

Key Investment Areas

BERLIN (Reuters) -Germany's budget committee finalised the budget for 2026 with high investment levels aiming to revive the economy and a strong commitment to defence spending, people familiar with the matter said on Friday.

Defence Spending Commitments

The budget committee session began on Thursday afternoon and wrapped up weeks of talks by bundling last-minute amendments and fixing final spending and revenue plans. 

Borrowing and Revenue Plans

The draft budget goes to a full parliamentary vote on Nov. 28.

The core budget, with total spending of 524.5 billion euros ($611.67 billion), includes 58.3 billion euros in investments, according to a document seen by Reuters, with small increases from a draft passed by the cabinet at the end of July.

The investment surge is possible thanks to a special 500 billion euro infrastructure fund and an exemption from debt rules for defence spending approved in March.

The core budget envisages borrowing of 97.9 billion euros in 2026, according to the document, up from 89.8 in the draft.

($1 = 0.8575 euros)

(Reporting by Maria Martinez, editing by Thomas Escritt)