Traffic light parties want to relieve municipalities of old debts

BERLIN (dpa-AFX) – SPD, Greens and FDP want to relieve municipalities with high old debts. They lack the financial strength for urgently needed investments, according to the coalition agreement of the three parties, which was presented on Wednesday. Relief is only possible together with the states whose municipalities are affected. Such a step therefore requires the agreement of the federal states and an amendment to the Basic Law.

The municipalities would also have to make their own contribution to debt relief and prevent new over-indebtedness. The East German municipalities, which have a slightly different debt problem, would also be taken into account.

There are indebted municipalities in all federal states, but not all regions are equally badly affected. Especially in North Rhine-Westphalia, Rhineland-Palatinate and Saarland, the municipalities have high cash loans./tam/DP/men

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