The State Directorate of Saxony has approved Leipzig's 2025/2026 double budget subject to conditions. This means that the city is able to act and can invest in road construction, schools and fire and disaster protection, announced Béla Bélafi, President of the State Directorate. Although Leipzig will spend more money than it earns in both financial years as planned, the legal requirements for approving the budget have been met in both years.
However, the city of Leipzig will not be able to generate its own funds to finance investments and repay loans. To secure its financial requirements, the city must therefore take out loans of up to almost 228 million euros in 2025 and up to 297 million euros in 2026.
However, the city must first prove that the funds will be used to finance absolutely necessary investment measures in the area of mandatory municipal tasks or to grant loans to municipal institutions and companies, it added.
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