Germany’s debt interest payments could soar next year, finance minister warns

German Finance Minister Christian Lindner speaks throughout a session of German reduce house of parliament, Bundestag, in Berlin, Germany May well 31, 2022. REUTERS/Hannibal Hanschke

BERLIN, June 18 (Reuters) – Finance Minister Christian Lindner warned that curiosity charges on Germany’s community debt could get to 30 billion euros future year due to rising desire charges and escalating credit card debt concentrations, introducing that he would resist calls to enhance spendinga.

Lindner reported he desired to carry an close next yr to the a few yrs of government largesse that had characterised attempts to prop up the economic climate by means of the coronavirus crisis and reapply Germany’s constitutional financial debt brake following yr.

“We are going through dangerous inflation that has to be braked,” he informed the Welt am Sonntag newspaper in an interview. “Preparedness to just take entrepreneurial dangers could be minimized. We can not allow this grow to be an financial disaster.”

Germany invested 4 billion euros on interest previous 12 months, reported Lindner, from the business enterprise-pleasant Free of charge Democrat social gathering, adding that he would resist phone calls from his coalition associates for greater expending.

“We can’t afford ill-directed subsidies any more,” he claimed. He shown subsidies for obtaining electric powered and hybrid vehicles that ended up available even to very large earners as illustrations of subsidies that really should be scrapped.

Reporting by Thomas Escritt
Modifying by Sandra Maler

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