Germany Urges Faster Use of €500 Billion Infrastructure Fund

The German finance ministry has warned that the country’s huge €500 billion fund for roads, rail and climate projects must be used more quickly. The report, sent to lawmakers on Monday, shows that the money is already helping growth but has not been spent fast enough. Last year the fund was meant to give out €37. 2 billion, yet only €24 billion reached projects. Out of 107 key milestones set for 2026, just 26 had been met by the end of May. The fund was created to fix two decades of low investment in Germany’s biggest economy. It will run for 12 years and cover both infrastructure upgrades and climate‑neutral goals. To track progress, the ministry uses a “progress and impact indicator. ” The average score across all projects is 54 percent, meaning many are still behind schedule.In 2025, about two‑thirds of the budgeted projects were still only in planning. Only one‑third had moved to construction or operation. The total spending that year fell €13. 3 billion short of the target because state‑level payments were delayed until late 2025. Looking ahead to 2026, the ministry expects clearer movement toward each ministry’s investment targets. By April 30, €11. 2 billion had left the federal part of the fund; that is 28 percent of the €39. 7 billion planned for that year. The report urges lawmakers to accelerate spending so the money can create jobs, improve transport links and reduce carbon emissions sooner.