Federal Minister of Economics: Growth package: Habeck calls on the Union to end the blockade

Federal Minister of Economics
Growth package: Habeck calls on the Union to end the blockade

Federal Minister of Economics Robert Habeck called on the Union to end the blockade growth package requested. “Listen to the business associations and finally give the Growth Opportunities Act the green light,” said the Green politician on Thursday in the Bundestag during a debate on the annual economic report.

Even after a meeting of the mediation committee of the Federal Council and the Bundestag, it is unclear whether the Union will agree to the growth package in the Bundesrat on March 22nd. The votes of the Union countries are necessary for this. The Union is making its approval conditional on the cancellation of agricultural diesel subsidies in another law already passed by the Bundestag.

The volume of the growth package, which, among other things, provides tax relief for companies, was significantly reduced in the mediation process – countries had previously complained about high revenue losses.

Habeck criticizes “voodoo financial policy”

Habeck criticized that the Union’s proposals for more growth would result in tax losses of 45 to 50 billion euros in the budget – but the Union has no concepts for counter-financing and at the same time wants to comply with the debt brake. This is “voodoo financial policy”.

Habeck presented the annual economic report on Wednesday. The federal government is only expecting mini-growth of 0.2 percent this year. Habeck once again referred, for example, to weak world trade, which is putting a strain on the German economy, which has strong exports. He cited the shortage of skilled workers as the biggest structural problem.

dpa