€1 billion of special-purpose grants for Austrian municipalities

The Federal Government of Austria is providing municipalities with €1 billion in the form of special-purpose grants. Community investments are supported with up to 50% funding.

The €1 billion municipal package supports investments by up to 50% and includes the construction and renovation of kindergartens, schools, retirement homes and sports facilities, as well as investment in public transport, energy saving measures, the construction of renewable energy production facilities and the expansion of the broadband network.

Additionally, it covers renovations, such as of churches and museums. It will run until 31 December 2021. The allocation of funds will be based partly on the graduated population key and partly on the number of inhabitants.

For example, the municipality of Sillian, which has about 2,000 inhabitants, can receive around €200,000 while the city of Graz can get up to €40.5 million.

”We intend to provide federal states and municipalities with the necessary funds to create economic incentives. That’s why we have launched this municipal package. It has a value of €1 billion in order to support both existing and future investments”, said Finance Minister Gernot Blümel.