MNI: GERMANY OCT EXPORTS -2.8% M/M (VS FCST -2.6%)

MNI BRIEF: BOJ Tankan: Business Inflation Expectations Solid

MNI BRIEF: RBA Details Hypothetical Monetary Policy Paths

MNI: PBOC Net Injects CNY14.2 Bln via OMO Friday

MNI: PBOC Sets Yuan Parity Higher At 7.1876 Fri; -1.22% Y/Y

MNI BOJ DEC TANKAN LARGE MFG INDEX +14; SEPT 13; MEDIAN +12

MNI: SPAIN NOV HICP +0% M/M, +2.4% Y/Y

MNI: FRANCE NOV HICP -0.1% M/M, +1.7% Y/Y

MNI: SWEDEN NOV UNEMPLOYMENT 7.4%

MNI EXCLUSIVE: EU-Mercosur Deal Close, But Likely Short-Lived - Officials

AUSTRALIA: 2025 Election Outcome Looking More Uncertain According To Newspoll

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

GERMANY: Finance Minister Kukies Says Tax Relief Plans Not Possible in 2024

GERMANY
Homepagemarkets-real-timePolitical RiskPolitical Risk BulletCEEMEAEurozoneGermanyBulletMarketsFixed Income BulletsForeign Exchange Bullets

German finance minster Kukies was interviewed by Die Welt and noted that plans to pass a bill countering inflation-induced tax creep (which initially was to be passed under the now-collapsed traffic light coalition) will not be possible in 2024.

  • Kukies says this is due to time constraints and the door for passing remains open ahead of the election on 23 February.
  • However, a passing of any tax creep relief before then appears unlikely after the CDU opposition leader appeared to withdraw support for the measures last weekend.
  • Additionally, "the decision has been made as to the basis on which the Federal Ministry of Finance will implement the provisional budget for 2025. ‘We will largely base our spending on the government draft for 2025 from the summer,’ said Kukies. However, the government draft only forms the basis for calculation and does not release the government from the decision as to which expenditure may be incurred in accordance with the Basic Law."
  • Note that the irrespective of when the provisional budget is confirmed, the DFA is expected to announce Germany's issuance plans on Tuesday 17 December.
180 words

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.

German finance minster Kukies was interviewed by Die Welt and noted that plans to pass a bill countering inflation-induced tax creep (which initially was to be passed under the now-collapsed traffic light coalition) will not be possible in 2024.

  • Kukies says this is due to time constraints and the door for passing remains open ahead of the election on 23 February.
  • However, a passing of any tax creep relief before then appears unlikely after the CDU opposition leader appeared to withdraw support for the measures last weekend.
  • Additionally, "the decision has been made as to the basis on which the Federal Ministry of Finance will implement the provisional budget for 2025. ‘We will largely base our spending on the government draft for 2025 from the summer,’ said Kukies. However, the government draft only forms the basis for calculation and does not release the government from the decision as to which expenditure may be incurred in accordance with the Basic Law."
  • Note that the irrespective of when the provisional budget is confirmed, the DFA is expected to announce Germany's issuance plans on Tuesday 17 December.