German Chancellor Olaf Scholz does not expect the new estimate of lower tax revenues to have any serious impact on deliberations on the next federal budget.
“On the issue of budget negotiations in Germany, we are on track,” Scholz said at a press conference with Moldovan President Maia Sandu on Friday in response to a question from journalists.
It was not surprising that the tax estimate was “not that favorable,” he said, adding that expected results had already been taken into account in advance.
According to the German Chancellor, the draft budget, together with measures to stimulate the economy, will be adopted and submitted to parliament at the beginning of July. There is a “very concrete agenda for this,” Scholz emphasizes.
On Thursday, tax estimators concluded that federal, state and local governments will collect about €995 billion ($1.08 trillion) in the coming year – almost €22 billion less than projected in the fall.
The cabinet decision is scheduled for the last meeting before the parliamentary summer break on July 3.
