Austria's debts continue to increase: What does that mean for every citizen?

Austria is under a pressure to guilty that accepts troubling proportions. According to Statistics Austria, public debts increased to dizzying 398.4 billion euros by September 30, 2024, which corresponds to an increase of 3.6 billion euros compared to the previous quarter. With a population of 9,132,000, this corresponds to a per capita debt of impressive 43,627 euros. The public deficit also amounts to 4.5 billion euros, which makes 3.8 percent of gross domestic product (GDP).

"Austria continued to increase in debt in the third quarter of 2024," said Tobias Thomas, General Director of Statistics Austria. The debt ratio, which measures the ratio of debt and economic performance, rose to 83.2 percent and thus further moves away from the Maastricht specification of 60 percent. Particularly worrying is the increase in the federal sector, which due to new debts for infrastructure projects by 1.8 billion euros.

Development of debts in Germany

The Federal Statistical Office (Destatis) announced

in parallel to these developments in Austria that public debt in Germany has also achieved worrying dimensions. At the end of the third quarter, the joint and several strain was 2,488.6 billion euros, which corresponds to an increase of 1.8 percent compared to the end of 2023. The federal debt rose by 22.8 billion euros, while the federal states increased by 11.9 billion euros.

The increase in debt in the federal states in Mecklenburg-Western Pomerania (+13 percent) and Rhineland-Palatinate (+10.6 percent) was particularly impressive. The municipalities and municipal associations also recorded an increase in their debts by 8.7 billion euros, which makes the situation even more troubling. In a similar trend as in Austria, the figures from Germany indicate a serious challenge for financial policy in both countries, such as Destatis reported .