The German government approved on 30 July its draft budget for 2026 and medium-term financial planning through 2029, which includes increased support for Ukraine, European Pravda reported.
According to the report, the draft federal budget for 2026 envisions expenditures of approximately 520.5 billion euros—3.5% more than allocated in this year's budget. Borrowing is projected at nearly 174.3 billion euros, representing a 31 billion euro increase from current levels.
Government investments will reach a record 126.7 billion euros in 2026, marking an 11 billion euro increase from this year. This unprecedented figure for Germany became possible partly due to relaxed debt rules.
The budget expansion extends to defense spending, which will surge from 62.4 billion euros to 82.7 billion euros in 2026—primarily driven by weapons and ammunition procurement funding. According to the medium-term budget plan, Germany's defense expenditures will gradually increase through 2029, ultimately reaching NATO's target of 3.5% of GDP.
The 2026 budget allocates approximately 8.5 billion euros in military aid to Ukraine.
Budget discussions in the Bundestag will begin at the end of September, with both chambers of the German parliament required to approve the budget by year's end.
