1.542 billion euros

Graz settles accounts: debt level rises again

Graz town hall

(Bild: Christian Jauschowetz)

The city of Graz has a debt of 1.542 billion euros at the end of 2023. This was presented by City Councillor Manfred Eber (KPÖ) on Tuesday in Graz. He is "quite satisfied", with almost 42 million euros remaining in the operating budget.

City Councillor for Finance Manfred Eber (KPÖ) presented the 2023 accounts on Tuesday. Overall, the capital's debt level has risen to 1.542 billion euros. This is significantly less than expected, says Eber. "We are below the peak level of 2021 because we have reduced debt by a hundred million euros." The increase in 2023 was "modest" and, at 3.2 percent plus, is well below the increase in the consumer price index of 7.8 percent - i.e. below general inflation.

The operating balance amounts to 41.8 million euros - the city has therefore taken in more than it has spent in the current budget. The city invested 151 million euros, including subsidiaries such as Holding Graz, the figure was as high as 289 million euros. The most expensive items: the first down payment for 15 new streetcars (13 million) and the VS Algersdorf (12 million).

Finance Director Johannes Müller

(Bild: Stadt Graz/Fischer )

It won't work without new debt
Finance Director Johannes Müller also responded to criticism from the City Court of Audit that the finances are "not sustainable". "This year, expenditure was low enough to cover repayments and interest. That is the minimum target." Not adding any new debt is "structurally only achievable in ten to 15 years".

Federal government should give more money
Eber and Müller both addressed the distribution of tax money through financial equalization, which would put Graz at a disadvantage. "If everyone in Graz was entitled to as much money per capita as everyone in Salzburg, we would have 80 million euros more at our disposal." This is, says Müller, "not an excuse, but it affects Graz in the long term".