Pirmasens in Rhineland-Palatinate, is the most indebted municipality in Germany. The city recorded per inhabitant cash loans from 8405 euros, an increase of one-third within five years. Is followed Pirmasens from Oberhausen (7683 Euro) and Kaiserslautern (6768 Euro). The ranking is based on new Figures collected by the Bertelsmann Stiftung for the year 2016 and the presence of the MIRROR. (Click here to read the whole story at SPIEGEL+.)
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the other places, the loan Rankings, the cities of Hagen (6164 Euro per capita), Mülheim an der Ruhr (5948 Euro), two bridges (5502 Euro), Remscheid (5488 euros) , Ludwigshafen (4526 euros), Trier (4190 euros) and food (4183 Euro).
In Pirmasens is increased, the volume of cash loans within five years, more than a third. Cash loans are short-term loans, the record municipalities, similar to overdraft facilities. Their volume has increased since the turn of the Millennium, in the meantime, considerably, from seven to more than 50 billion euros.
In the spring, the Commission is to submit “Equivalent living conditions” in Berlin proposals on how to solve the debt problem; in July, the Plan, results are presented.
It was not easy to find a balance between the interests of municipalities, the länder and the Federal government, said Helmut Dedy, managing Director of the German Association of cities, of the MIRROR. “There will be certainly still debates.” Needed a debt relief program, Dedy. “The Federal government would help the municipalities, for example, when he relieved permanently in social expenditure and, more specifically, of the property time cost for long-term unemployed. This would enable the municipalities to reduce their old debts.” In addition, the countries were compared with their local authorities to have a duty.
the mayor and Treasurer of many financially weak municipalities call on the Federal government and the countries, a kind of haircut and a solidarity-based debt Fund set up in order for the cities to act again financially viable.
Economists like the Emperor lauterner financial expert Martin Junker, Heinrich keep such a solution is appropriate. However, the aid should be tied to strict conditions, so that new debt can be avoided. To belong to a successful debt relief, therefore, that the Federal government and the countries more involved in the social tasks. “The most vulnerable communities today bear the highest loads,” says Junker, Heinrich, “this must be avoided unbalance.”
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