Strong economy puts Germany in surplus

Strong economy puts Germany in surplus
The better the economy does, the more cash the government has. Photo: DPA
Germany's public finances are back in the black for the first time since 2007, as the federal, state and social security budgets all reported surpluses in the billions for 2014.

The federal statistics office Destatis revealed on Tuesday that the total surplus had reached €6.4 billion, included of €2.3 billion in the federal government, €3 billion for social security and €1.6 billion for the states.

Only communities, the lowest level in Germany's administrative system, had a deficit, at around €700 million.

There is still some way to go before the surplus matches 2007 levels of €9 billion.

But 2014's figure is a huge improvement over 2013, which saw the public purse €7.2 billion in the red.

Overall income from taxes and social security contributions grew by 3.7 percent in 2014 compared with the previous year, to €1,245.9 billion.

While the statisticians' original prediction had been for a surplus of around €18 billion, they said that the difference was due to changes in their calculations.

SEE ALSO: Strong economy shrinks debt as share of GDP


Member comments

Become a Member to leave a comment.Or login here.