Germany to Speed Up Infrastructure Investment
The nation has agreed to a new division of labor between the national and state governments.
According to a report, Germany has agreed to a new division of labor between national and state governments in a bid to allow more investment into infrastructure. Germany is notorious for having extra money on hand but never investing it into infrastructure.
The reform between the governments now gives Berlin more power in exchange for providing the states with more funds.
"We know that jobs, growth and prosperity in this country depend strongly on whether we have a good infrastructure," said German Transport Minister Alexander Dobrindt in the lower house of parliament ahead of the vote on the overhaul. "With this reform, we increase efficiency and ensure that we get faster and better and can build more."
The federal government will roughly pay 10 billion euros annually to the country’s 16 states in exchange for getting more say on infrastructure projects, tax administration and investment in schools.