BERLIN (MNI) – German Finance Minister Wolfgang Schaeuble on Monday
reaffirmed that the government will cut the federal structural deficit
by E10 billion each year from 2011 in order to meet the constitutional
requirements of a structural deficit of at most 0.35% of GDP by 2016.

Speaking at a tax conference here, Schaeuble called German federal
net new borrowing “exorbitantly high,” stressing that “we must bring it
down again.”

The 2010 federal budget foresees federal net new borrowing of E80.2
billion, more than double last year’s E34.1 billion.

–Berlin bureau: +49-30-22 62 05 80; email: twidder@marketnews.com

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