Austria’s national debt rose to 383.2 billion euros in the first quarter of 2024. CBS Austria announced this on Thursday, according to which Austria is further away from the Maastricht target.
This sets a debt ratio of a maximum of 60 percent, whereby the debt ratio refers to the ratio between the national debt and the nominal gross domestic product. This requirement is intended, among other things, to guarantee the stability of the price level. Austria’s real value in the first quarter of 2024 was 79.7 percent. At the end of last year, the national debt was 12.1 billion euros higher.
What the increase is based on
According to Statistics Austria, the largest increase in public debt occurred in the federal sector. The federal government had used the funds raised to cover a deficit and ensure liquidity. At the end of March, bonds accounted for the most debt, followed by loans and deposits. In addition, debts in the municipal and social security sectors have increased slightly. However, the state sector was able to reduce its liabilities somewhat.
The government deficit in the first quarter of the year amounted to 6.4 billion euros, or 5.3 percent of quarterly gross domestic product. This value was also lower in the same period last year.
European Commission: put together an austerity package
NEOS’ debt ratio was criticized on Thursday. The party would meet experts this summer to discuss the savings potential. Ultimately, according to the Budget Council and the European Commission, the future government will have to come up with an austerity package of more than ten billion euros. The current government has also targeted a debt ratio of around 60 percent in its program, according to NEOS Secretary General Douglas Hoyos.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
