Germany's public spending surpassed two trillion euros for the first time in 2024, according to the Federal Statistical Office.

Despite stable growth in tax and social contribution revenues, the country recorded a financing deficit of 104.4 billion euros, up 12.7 billion from 2023. While federal revenues grew faster than expenditures, states and municipalities faced the opposite trend, with local governments seeing a sharp rise in spending by 12.6% compared to a 7.6% increase in income.

Social security systems also reported a deficit, driven by rising healthcare and pension costs.

Military spending saw mixed trends, with reductions in core budgets but increases in special funds.

The growing financial strain highlights the challenges of balancing public finances amid rising social and infrastructure demands.