Germany records €23.6b budget deficit in H1 ’24

Germany’s federal budget recorded a deficit of €23.6 billion for the January–June 2024 period. Revenue and expenditure fluctuations throughout the fiscal year result in uneven impacts on cash funds and net borrowing.

On July 17, the federal government adopted a draft supplementary budget for 2024, reflecting current trends in revenue and expenditure. The supplementary budget, allowed under Germany’s debt brake in the event of an economic downturn, will create additional borrowing authorisations to mitigate cyclical burdens and address the Climate and Transformation Fund’s revised financing needs.

The fiscal balance and net borrowing figures at this point in the year are not reliable indicators of end-of-year outcomes due to these fluctuations.

Attribution: Germany’s Federal Ministry of Finance monthly report