Bergkamen Debt Relief: NRW Intervention & Criticism

by Archynetys Economy Desk
  1. wa.de
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Bergkamen benefits from the state government’s nine billion program. But critics warn: The relief is not enough.

Bergkamen – The state is relieving the city of old debts amounting to around 710,000 euros. This is Bergkamen’s share of a relief package from the state government for the benefit of indebted cities and municipalities. In total, North Rhine-Westphalia is investing around nine billion euros in debt.

Bergkamen will receive significantly more than a few coins: the city will have its debts forgiven by 710,693 euros. © Oliver Berg/dpa

The state government wants to relieve the burden on cities and municipalities that suffer from liquidity loans. Many municipalities take this on in order to maintain their solvency – but in the end they have to pay off these many individual items. In Bergkamen that is 1,731,065 euros as of December 31, 2023. The state relieves the city of 41.1 percent of this amount. The federal government is supposed to take on a good half of the debt, but the legal basis for this is still being worked on.

Bergkamen has high debts – the state of North Rhine-Westphalia is helping

In the country, however, a law regarding the proportional assumption of old debts came into force in July. 167 cities and municipalities now benefit from it. In the Unna district, in addition to Bergkamen, Lünen, Schwerte, Kamen, Selm and Werne also receive financial support. Lünen receives the highest amount with almost 75 million euros. Bergkamen’s other neighboring towns Werne and Kamen will receive 2.9 million and 24.9 million euros in relief. Selm will be forgiven almost 6 million euros and Schwerte over 23 million euros.

The largest amount nationwide will be forgiven for the city of Oberhausen: 1.2 billion euros for debts of more than 1.5 billion euros. Willebadessen receives the least relief; the small town in the Höxter district receives 152,027 euros, but also has the lowest debt at around 370,000 euros.

The council unanimously voted in favor of participation in the program last July, at the same council meeting in which the IGA cost coverage was also decided. The decision was welcomed by all political groups. However, Claudia Schewior from BergAUF pointed out that this could only be a first step. The planned volume is only sufficient to cover the interest on the debts of the North Rhine-Westphalian municipalities.

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