Canadian Manufacturing

Germany balanced budget in 2014

The European economic leader had previously planned on borrowing of 6.5 billion euros in 2014 and a balanced budget in 2015



BERLIN—Germany says that in 2014 it achieved its first balanced budget since 1969, a year earlier than planned, thanks to low interest rates, higher tax revenue and other factors.

The Finance Ministry said that historically low interest rates meant that Germany paid less on previous credit, and overall spending was a billion euros less than budgeted, at 295.5 billion euros ($348.8 billion).

Meantime, tax revenues were 2.6 billion euros higher than budgeted. In addition, a December court ruling forced utility companies to pay the government 2.3 billion euros as part of a tax on the fuel used to produce nuclear power.

Germany had previously planned on new net borrowing of 6.5 billion euros in 2014 and a balanced budget in 2015.

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