State budget 2025

Borrowing of over 200 million euros is necessary

Not all positions in the administration are to be filled, said Governor Markus Wallner.

(Bild: Maurice Shourot)

The budget proposal, which will be approved by the state parliament in December, foresees an increase in the state's debt from 450 to 650 million euros. Governor Markus Wallner (ÖVP) and State Governor Christof Bitschi (FPÖ) do not want to cut back on investments. 

The difficult economic situation and high investments require borrowing of 200 million euros, emphasized Governor Markus Wallner (ÖVP) at the presentation of the 2025 state budget in the press foyer on Tuesday.

He emphasized that there was no intention of letting up on investments - 116.1 million euros, an increase of 16 percent. "Especially in difficult economic times, you can't put the brakes on investment."

City tunnel costs 29 million euros
In primary education, for example, expenditure will increase from 129.3 to 150.2 million euros. At 158.2 million euros, more than four percent more than in 2024 will be spent on climate, environment and energy. While 81.5 million euros (52.9 million euros for hospital buildings) will be available for state building construction, 111.0 million euros will be spent on road construction - 29 million euros of which will go towards the construction of the Feldkirch city tunnel. As in previous years, expenditure on education, social affairs and health as well as housing subsidies will account for around 70 percent of total funding in 2025.

Both Wallner and state governor Christof Bitschi (FPÖ) emphasized that budget consolidation was essential. They had already avoided 70 million euros in additional costs when drawing up the budget for next year.

The governor also announced that all state subsidies would be closely scrutinized. In the next five years, 180 to 190 retirements would take place in the state administration. "I can't imagine that we will be able to fill all the positions that become vacant." But structural changes will also have to be made. "We already discussed the goal of budget consolidation intensively during the government negotiations," added Bitschi. The aim must be to get back into the black. "It is a challenging situation. We are both prepared to roll up our sleeves," he assured.

Markus Wallner and Christof Bitschi also agree on the budget.

(Bild: APA/DIETMAR MATHIS)

The budget was unanimously approved by the members of the provincial government. It will be debated and passed in the state parliament in December.

It is unlikely that the opposition parties will vote in favor. In addition to NEOS and SPÖ, the Greens also criticized the budget. "The state government is taking on 200 million euros in new debt, but instead of using it to invest in the future, it is pushing ahead with monster fossil fuel projects such as the tunnel spider. This is a declaration of bankruptcy for the future," explained club leader Daniel Zadra.