Countries are ready for reform before budget summit-diepresse.com

On Wednesday, top representatives of the federal government, the states and municipalities of the Federal Chancellery came together for a summit discussion to advise on the renovation of the budget, which was out of hand. Vienna’s mayor and urban district president Michael Ludwig (SPÖ) emphasized the willingness of the federal states and communities to reform. The chairman of the Governor Conference, Wilfried Haslauer (ÖVP) even spoke of a « huge opportunity ».

« With the current horror about the high deficit, reforms are also possible, the willingness to reform is stronger and the understanding of reform is better, » said Haslauer when he arrived in front of journalists. At the appointment, an analysis of the situation awaits and that « the basic plants » are taken in a measure catalog. It is clear that the federal government, the federal states and municipalities have to make their contribution depending on their possibilities in order to reduce the overall deficit.

Ludwig also emphasized that the countries are ready to shoulder the difficult budgetary situation together with the federal government. However, this requires conversations at eye level, for example, measures in tax law would have to pass in coordination. The countries are also ready to talk about changes such as savings in the area of ​​bureaucracy. However, one has to avoid that savings « the delicate plant of economic development » are destroyed by savings. He did not see any resistance to saving in the federal states and municipalities, but their expenditure in areas such as care, health or elementary pedagogy had grown more than other federal tasks and would have to be secured. A federalism reform brought into play by Haslauer did not decline Ludwig per se that there were always opportunities for improvement. « But someone has to pay it » and that will also be a challenge for a federalism debate.

Crisis as an opportunity

The municipal association President Johannes Pressl (ÖVP) also expected before the appointment « that the crisis can also become a chance » by recognizing the urgent need for reform and reacting to him. The communities are ready for this.

At the appointment with Federal Chancellor Christian Stocker (ÖVP), Vice Chancellor Andreas Babler (SPÖ), Foreign Minister Beate Meinl-Reisinger (Neos) as well as Finance Minister Markus Marterbauer (SPÖ) and State Secretary Barbara Eibinger-Miedl (ÖVP) should be discussed how the overall-state budget can be erected in the coming years more stable and « future fit ».

Budget consolidation has been made more difficult by the latest figures for 2024, the deficit was astonishingly high 4.7 percent of GDP in the previous year. Surprisingly strong departures in the countries were also responsible for this. Overall, the debt burden focuses heavily on the federal government: the total debt rate of Austria was 81.8 percent of GDP in the previous year. 70.8 percent accounted for the federal government.

Only Upper Austria 2024 with plus

The only country with a positive budget balance 2024 was Upper Austria (plus 29.8 million euros). Minus 2024 was the highest with EUR 1.67 billion in Vienna (exclusive state chambers), followed by Styria (525.5 million) and Lower Austria (486.5). Salzburg came up with a negative balance of EUR 330.8 million, in Carinthia it was 184.0 million, in Vorarlberg 150.8 and 141.2 million euros in Burgenland. (APA)