Federal government in the budget crisis: Financial expert analyzes the most important legislative proposals for 2024

Federal government in the budget crisis: Financial expert analyzes the most important legislative proposals for 2024

According to a report by www.merkur.de,

The federal government is still in a budget crisis. Which legislative proposals are in focus? We've taken a look at some of the most important legislation for 2024.

The new pension package stipulates that pensioners will be guaranteed, on average, no less than 48 percent of their previous salary as a pension. The federal government calls this mechanism the holding line for the pension level, which, according to current status, should apply until 2025. With the new pension package, the government wants to lay the legal foundation for the period afterwards. This means: The stop line should remain secured in the long term.

In addition, the stock pension is still planned. The traffic light coalition wants to use public funds to gradually build up a capital stock that will relieve the burden on pension insurance and stabilize pension contributions.

With regard to climate money, it is not yet clear in what form or when it will come into force. The Federal Ministry of Finance is currently working on a corresponding model. So there is still uncertainty about the implementation of climate money.

The rent brake is to be extended until 2028, and a new “qualified rent index” is intended to slow the growth of rental prices.

A new investment protection law is also on the agenda, which is intended to monitor foreign investments more closely and protect critical infrastructure. An amendment to the Agricultural Organizations and Supply Chain Act is also planned to strengthen the position of farmers.

All of these planned legislative proposals will have a significant impact on the market and the financial industry. Securing pension levels and introducing share pensions can mean long-term financial stability for pensioners and the pension system. The extension of the rent cap and the introduction of a qualified rent index can influence the real estate market and slow down rent increases. The Investment Protection Act and the amendment to the Agricultural Organizations and Supply Chain Act could have a major impact on investments and the agricultural economy.

These planned measures should be closely monitored by financial experts and market participants as they have the potential to have far-reaching effects. Vigilance and adaptability will be crucial in this dynamic environment.