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Frankfurt / Main (dpa) - Cities, municipalities and districts are less indebted in Brandenburg than in other federal states.

In 2020, they were in the chalk at 613 euros per inhabitant, as the KfW Bank determined.

That was around eleven percent less than in the previous year and significantly less than the national average.

This was 1722 euros per inhabitant.

In a comparison of the regional states, only Saxony's districts, cities and municipalities are better off than Brandenburg with EUR 574 per capita debt.

According to the study by the state development bank, the municipalities have so far got through the Corona crisis unexpectedly lightly.

The concern about the long-term consequences is great, however, as emerges from the KfW municipal panel published on Thursday.

According to this, 85 percent of the municipalities surveyed nationwide expect lower income due to the crisis in 2021 and beyond, 52 percent also expect higher expenditure.

"Long-Covid threatens municipal finances," said KfW chief economist Fritzi Köhler-Geib.

The economist fears that as a result, municipalities will have to shut down their investments in schools, roads, climate protection and digitization.

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In the crisis year 2020, the support from the federal and state governments - in particular the reimbursement of business tax losses - prevented a massive budget deficit in the municipalities, according to the information.

Cities, municipalities and districts were able to close the year with a small surplus.

However, since some of the consequences of the crisis only take effect after a delay, there is a risk, according to the study, of rising budget deficits and growing local government debt.

© dpa-infocom, dpa: 210506-99-488920 / 2

KfW municipal panel