Saxon Finance Minister Outlines Austerity Measures to Address €4 Billion Budget Deficit
Christian Piwarz announces spending cuts across ministries, while safeguarding education and youth programs, to tackle rising costs and slow revenue growth.
- Saxony faces a €4 billion shortfall in its 2025/2026 budget due to rising expenditures and slower-than-expected tax revenue growth.
- Finance Minister Christian Piwarz plans to implement a mix of spending cuts, including reductions in ministry budgets, personnel costs, and co-financing of federal and EU programs.
- The government will tap into its €1.2 billion financial reserve, which Piwarz deems justified given the current economic challenges.
- Youth and education sectors will be prioritized, with planned protections for teacher positions and social programs for children and young people.
- Additional measures under consideration include reducing contributions to the pension fund, reallocating funds from unfilled government positions, and adjusting the repayment schedule for COVID-era loans.
Sächsische Zeitung 
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