Austria's billion -dollar savings compulsion: Which scenarios are waiting?

Austria's billion -dollar savings compulsion: Which scenarios are waiting?

The Austrian federal government is faced with an enormous financial challenge: the official need for consolidation for the next few years has now been published by the Ministry of Finance. This estimate based on the data of the European Commission amounts to savings between 18 and 24 billion euros. This brings the political negotiations on budget consolidation into a crucial phase, such as oe24.at reports.

scenarios for saving

Four different scenarios are available, depending on whether the government is considering an EU deficit procedure or not. The first scenario, a four -year consolidation path without a deficit procedure, requires the highest savings of 24.1 billion euros. Around 6 billion euros would have to be saved annually. In contrast, a seven -year plan would reduce the necessary amount to 18.1 billion euros without deficit procedures. However, if the government accepts a deficit procedure, the savings would only be 14.8 billion for the four -year plan and 18.4 billion for the seven -year -old plan, but with higher annual needs, such as bmf.gv.at explained.

In order to identify specific savings potential, finance minister Gunter Mayr said that there was no taboos. A possible deletion of the climate monus could reduce annual expenses by up to 2 billion euros, while the abolition of educational leave is around 650 million euros. The path to consolidation is urgent, because by mid -January, the government negotiators have to present an EU's package of measures that outlines a reduction in budget deficit below 3%. This could prevent the initiation of EU deficit procedure against Austria.