(de-news.net) – The Bundesrat has formally ratified the federal budget for 2026 during its final session of the year, and no proposals were introduced to send the matter to the Mediation Committee. The approved financial plan sets overall revenues and expenditures at 524.54 billion euros, reflecting the government’s attempt to balance fiscal responsibility with strategic investment. Of this total, 387.21 billion euros are expected to be generated through tax receipts, 97.96 billion euros through borrowing, and approximately 39.36 billion euros from miscellaneous sources such as fees and other non‑tax revenue.
A significant portion of the borrowing—amounting to 57.57 billion euros—has been designated as exempt from the constitutional debt brake. This exemption applies because the funds are allocated to defense and specific security‑related purposes, areas where the government has argued that flexibility is essential. Within this framework, 25.51 billion euros have been earmarked for the Bundeswehr special fund, underscoring the priority placed on strengthening Germany’s military capabilities.
Beyond defense, the budget also channels substantial resources into long‑term infrastructure and climate policy. The special fund ‘Infrastructure and Climate Neutrality’ is scheduled to receive 58.07 billion euros, a sum intended to support projects that modernize transport networks, expand renewable energy, and accelerate the transition toward carbon neutrality. In parallel, the ‘Climate and Transformation Fund’ will provide 34.80 billion euros, aimed at financing innovation, industrial adaptation, and measures that facilitate the broader economic shift toward sustainability.
Taken together, these allocations illustrate a dual strategy. On the one hand, they will reinforce national security. Simultaneously, they mark an investment in structural modernization and environmental transformation.