BERLIN (Reuters) -Germany’s Finance Minister Christian Lindner plans to raise the government’s debt to nearly 17 billion euros ($18 billion) in next year’s budget, Spiegel magazine reported on Friday, citing information from the ministry.
The increase was in response to a slowing economy but would still be in line with Germany’s constitutionally imposed debt brake, the magazine said.
A finance ministry spokesperson declined to comment on the 17 billion euro figure but said the draft budget should be decided before the summer break, without giving an exact date.
Budget talks have dragged on as the government’s three parties – Lindner’s Free Democrats, the Social Democrats and the Greens – have widely differing views on spending priorities.
The Finance Ministry earlier this month informed the other ministries of what budget funds that would be made available to them next year.
Spiegel also said that under the tighter budgets for all ministries except defence, Lindner could save about 3.7 billion euros, with the highest burden falling on the transport ministry.
($1 = 0.9295 euros)
(Reporting by Christian KraemerWriting by Matthias Williams and Miranda Murray. Editing by Jane Merriman)
