Saxony or Thuringia: Which government has it easier? - Saxony and Thuringia face billion-euro budget crises amid political instability
Saxony and Thuringia are grappling with billion-euro budget shortfalls while navigating unstable political landscapes. Both states lack a clear parliamentary majority, forcing leaders to negotiate each decision separately. Despite these hurdles, Saxony has approved its budget, whereas Thuringia is relying on borrowing to fund key news projects.
Saxony’s government recently passed its 2025/26 double budget without taking on new debt. Social Affairs Minister Petra Köpping confirmed the move but warned of a €2.9 billion gap for the following budget. Officials attribute this achievement to strong cooperation within the ruling coalition, even though they must secure support for every vote.
Saxony’s government has avoided new borrowing for now, but a €2.9 billion shortfall looms. Thuringia, meanwhile, is moving forward with debt-financed investments in education and infrastructure. Both states continue to operate without a fixed majority, making future budget news uncertain.