Germany’s Debt Interest Payments Could Soar Next Year, Finance Minister Warns – Newspaper | Investing News

BERLIN (Reuters) – Finance Minister Christian Lindner warned that fascination fees on Germany’s public financial debt could get to 30 billion euros next 12 months thanks to increasing interest costs and increasing debt ranges, incorporating that he would resist phone calls to boost spendings.

Lindner explained he wished to carry an finish subsequent yr to the 3 many years of federal government largesse that experienced characterised makes an attempt to prop up the financial state via the coronavirus disaster and reapply Germany’s constitutional debt brake upcoming year.

“We are experiencing hazardous inflation that has to be braked,” he advised the Welt am Sonntag newspaper in an job interview. “Preparedness to get entrepreneurial pitfalls could be lessened. We are not able to permit this turn into an economic disaster.”

Germany used 4 billion euros on desire previous year, said Lindner, from the small business-helpful Free Democrat occasion, introducing that he would resist calls from his coalition companions for enhanced paying.

“We can’t afford to pay for unwell-directed subsidies any extra,” he mentioned. He listed subsidies for obtaining electrical and hybrid cars that ended up readily available even to incredibly substantial earners as illustrations of subsidies that really should be scrapped.

(Reporting by Thomas Escritt Enhancing by Sandra Maler)

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