Criticism Levied Against CDU Over State Budget Plan

In Mecklenburg-Vorpommern, the CDU has proposed a plan to address a looming budget gap of approximately one billion euros, starting in 2028. The proposal includes cuts to social benefits, reductions in government spending, and initiatives to foster economic growth.

The current left-wing government, however, has been using debt-financed funds to plug existing budget gaps. This strategy has led to the exhaustion of the free funds from the equalization reserve and the cyclical equalization reserve, with more than 500 million euros being withdrawn from reserves.

The SPD and Left's budget plans for 2026 and 2027 show total expenditures of approximately 11.7 billion euros and almost 11.8 billion euros, respectively. In response to these high expenditures, the SPD politician admitted in the presentation of the budget draft that the government is drawing heavily on reserves and taking on debt for the first time in 20 years.

To address the economic challenges, CDU state parliamentarian Marc Reinhardt has proposed a number of amendment proposals. These include investments in IT, digitalization, and artificial intelligence, as well as using state-funded risk capital to promote the launch of innovative startups. Reinhardt has also criticised the depletion of reserves.

In addition, the loans amounting to 277.5 million euros per year, within the framework of the structural component, are permitted under the debt brake, according to Finance Minister Heiko Geue. These loans are not being used to quickly boost the state's economy, despite the need for growth.

To discuss the draft budget for 2026/2027, Geue was invited to the consultations by the Union. The question of how the budget gap of around one billion euros will be closed from 2028 onwards remains unanswered.

The CDU maintains that the red-red state government is causing Mecklenburg-Vorpommern to stagnate. However, the SPD and Left argue that their focus on social welfare and investment in infrastructure is necessary for the long-term prosperity of the region.

It remains to be seen how these proposals will shape the future budget of Mecklenburg-Vorpommern and whether they will successfully address the economic challenges facing the region.