Marterbauer Ahead of Summer Council: "I Feel Very Fit" and Budget Above Plan

Health Update: Chemotherapy Going Well

A lymphoma is a cancer of the lymphatic system in which white blood cells multiply uncontrollably. In some types of lymphoma, up to 90 percent of those affected can be permanently cured, especially with early diagnosis. When asked, Marterbauer said: "I'm doing well, I feel fit." The therapy had gone well, the finance minister added.

After the brief health update, Marterbauer quickly shifted back into work mode. On substance, he spoke about the budget development and said the federal development was "quite good," meaning somewhat above plan. Specifically: the federal budget in the first half of 2026 is above the projected figures, which the Finance Ministry views as a positive signal. Marterbauer said he was "very satisfied" with the budget development, but at the same time pointed out that the current situation does not yet allow conclusions for the full year. "In the first half-year, the development is also positive for these regional authorities," he said with regard to the states and municipalities. Thanks to the stability pact, there is now an improved data situation for states and municipalities, Marterbauer said: "In the first half-year, the development is also positive for these regional authorities." From a "budgetary perspective," he was "very satisfied," although the current situation does not yet allow conclusions for the full year.

Budget Development: "Quite Good" and Above Plan

A second major topic for the Finance Ministry at the Summer Council is the final tranche of funds from the Recovery and Resilience Plan, which is to be applied for from the EU. It concerns another 300 million euros, Marterbauer explained. "Together with Denmark, Sweden and France, we will be the fourth country to have been able to draw down 100 percent of the funds," Marterbauer said. That was proof of how well the Austrian administration functions when it is among Europe's leaders, the finance minister said.

"We have fulfilled all milestones," Marterbauer said with regard to the implementation of the Austrian recovery plan to date. At full deployment, the remaining parts would likely amount to a low three-digit million figure, the Ministry said. With the planned application for the final tranche, Austria would draw down the funds from the EU pot, which was set up in the course of the Covid-19 pandemic, almost in full.

EU Recovery Plan: 300 Million Euros from Brussels

Beyond that, there are not many topics at the Summer Council that concern the Finance Ministry, Marterbauer said: "It will still be exciting and fun." Regarding the impacts of the military service reform, which is to be presented in Salzburg on Wednesday afternoon after the Council, Marterbauer said he wanted to "look at the solution in detail." These would, however, have to be covered from the federal financial framework, Marterbauer said: "There is no new money for that." This makes it clear: no additional budget will be set up for any extra expenditure arising from the military service reform.

Military Service Reform: No New Money

The federal budget development is "quite good" and "somewhat above plan." That is the core message Marterbauer delivered at his appearance in Salzburg. He was "very satisfied" with the course so far, the finance minister stressed. At the same time, he pointed out that the second half-year must be awaited for a full assessment of 2026. The improved data situation for states and municipalities brought about by the new stability pact only now allows for more precise comparisons with previous years.

With the application for the final EU tranche, Austria is also sending a signal within the European Union. Only Denmark, Sweden and France have so far been able to draw down 100 percent of the funds due to them from the Recovery and Resilience Plan. With the current step, Austria would become the fourth country to reach this status. Marterbauer interpreted this as evidence of the performance of the Austrian administration: when it comes to drawing down EU funds in a targeted and timely manner, Austria is among Europe's leaders.

The handling of the military service reform was not the focus of the finance minister's remarks on Wednesday, but it is nonetheless financially relevant. Should concrete additional expenditures arise from the reform, these would have to be financed from the existing federal financial framework, Marterbauer made clear. No new funds are earmarked for this purpose. "There is no new money for that," he said.

Overall, Marterbauer gave the impression at his appearance ahead of the Summer Council of being fully in office despite his ongoing cancer therapy. He has fulfilled all milestones, the budget is above plan, and with the application for the final EU tranche another concrete project is imminent. "It will still be exciting and fun," Marterbauer said with a view to the further course of the Council. He left open on Wednesday how long his chemotherapy would last and how he intended to balance treatment with official duties.

For the domestic economy and the public sector, the message from the Finance Ministry is in any case clear: the budget is developing better than planned, and with the 300 million euros from Brussels a further inflow of funds is in prospect. At the same time, it remains to be seen how the budget development will shape up in the second half-year and what additional burdens may arise from the military service reform, which would have to be covered from the existing financial framework.

Outlook for the Second Half-Year

Marterbauer, who has led the Finance Ministry since taking office, has repeatedly stressed in recent weeks that he intends to continue his official duties despite his illness. The short break in the Waldviertel was an initial recovery phase, he said on Wednesday. What is clear: the coming weeks will show whether the chemotherapy continues to be as well tolerated as before and whether Marterbauer can simultaneously meet the demands of his office.

With a view to the further course of the recovery plan, Marterbauer stressed that Austria is in the top group when it comes to implementing EU funds. The outstanding funds would amount to a low three-digit million figure "at full deployment," it was said. With the application for the final tranche, this amount is to be drawn down in full. A central financial-policy project of the current legislative period would thereby be brought to a conclusion.

The mood at Marterbauer's appearance was overall sober and matter-of-fact. After the brief health update, the finance minister quickly turned to budgetary questions and the upcoming Council topics. He did not answer questions on Wednesday about a possible deputy or a longer-term reduction in his workload. He reiterated that he felt "very fit" and that the therapy had gone well.

For the Austrian population, the message from the Finance Ministry can be briefly summarized as follows: the state finances are developing better than planned in the first half of 2026, while at the same time around 300 million euros from Brussels are available with the final EU tranche. How these developments will affect upcoming budget decisions will become clear in the second half of the year.