37 Million Euro from Federal Special Funds for the City of Gießen
The city of Gießen is set to receive its largest ever single funding boost—around €37 million from the federal government’s special fund. This first instalment forms part of a broader €4.7 billion distribution by the state of Hesse to its municipalities.
The funds originate from the federal government’s €500 billion special pot, with Hesse allocating roughly €4.7 billion of its €7.43 billion share. Gießen’s allocation marks the first of two payments, though the second is expected to be smaller due to revised calculation methods.
Before any money is released, Hesse must finalise individual agreements with each municipality. The legal framework for accessing these funds should be in place by the first quarter of next year. City officials have stressed that the funding will help maintain Gießen’s recent high investment levels. However, the treasurer warned that the allocation will not cover all financial needs. The goal remains to prevent infrastructure backlogs and support the local economy.
The decision on Gießen’s second instalment is not expected until 2029. For now, the €37 million will be used to sustain ongoing projects and economic activity. The city plans to keep investment steady in the coming years despite budget constraints.