Germany's financial obligations surpass official debt statistics, reveals a study by ZEW - Leibniz Centre for European Economic Research. The discrepancy stems from EU debt, absent in national records, burdening Germany with concealed liabilities, constituting nearly 10% of its national debt, according to the Mannheim Institute. Particularly, the COVID-19 recovery plan "Next Generation EU," with its €750 billion in debt-financed aid, imposes unaccounted financial commitments on Germany.

"The EU debt is politically appealing but economically incentivizes unsound practices, especially for highly indebted member states," stated ZEW economist Friedrich Heinemann. "It's urgent to attribute EU debt to member states' national debts to overcome current fiscal opacity," emphasized the head of ZEW's "Corporate Taxation and Public Finance" research division.

Germany's share for grants and programs under the COVID-19 recovery plan amounts to approximately €109 billion upon full disbursement. Additionally, Germany assumes guarantees of €134 billion until all loans are repaid by 2058. Furthermore, Germany's contribution to EU loans to non-EU states totals around €18 billion. "For Germany, the sum of indirect repayment obligations, upon full disbursement, amounts to €262 billion," Heinemann disclosed, nearly 6% of the GDP. "This significant sum further constricts Germany's fiscal maneuverability," he concluded.

For the first time, the COVID-19 recovery plan utilizes debt to finance grants to member states and EU budget expenditures. While these grants are non-repayable by beneficiary states, they are eventually repaid from the EU budget. As the EU budget relies on member states' contributions, the repayment ultimately falls on them. "This creates fiscal opacity as national debt statistics no longer comprehensively reflect liabilities," criticized the institute.