At first glance, nothing. And what does all this have to do with privatization of public services? Nothing either. <\/p>\n
But first things first…<\/p>\n
Many German treasurers generally tend to portray their tasks as particularly atypical, determined by public law.
\nIt is therefore good form to forbid comparisons with typical treasury departments in companies. Above all, it is not welcome when public service tasks are discussed as fundamentally privatizable. The “capitalism” that then moves into public administrations may admittedly mean a little process efficiency, but it is rather seen as the entry of mere profit thinking. <\/p>\n
At the same time, however, German treasurers like to use precisely these capitalist methods to improve ailing budget situations. Leipzig is a prominent example, with some completely unsuccessful sale-and-lease transactions or explosive derivative financial transactions.
\nThe most recent example is foreign currency loans. Many treasurers were of the daring opinion that municipal finances should be relieved with foreign currency loans. A few weeks ago, the Swiss central bank decoupled its currency from the euro. The consequences are considerable. If, for example, 375 million euros in foreign currency loans were recorded in the particularly cash-strapped city of Essen from North Rhine-Westphalia, the burden increased by 75 million euros on the day of the Swiss central bank’s decision. In other words, in 2014 Essen paid off debts for the first time in decades (6 million euros of around 3.3 billion euros) and suddenly lost a good ten times as much. These examples can be extended as desired. Whether Constance, Osnabr\u00fcck, M\u00fcnster, everywhere the treasurers are faced with uncomfortable questions. <\/p>\n
Unfortunately, once again, there is an ominous mixture of the use of professional treasury methods with insufficient know-how in implementation.
\nUltimately, affected treasurers hope that the Swiss franc will have recovered on the repayment date.
\nThis principle of hope has little to do with professional treasury: after all, it gives the reins of action out of hand and reduces the treasurer’s office to the principle of hope.<\/p>\n
We look forward to your comment on the topic of foreign currency loans!<\/strong> Image source: Fotolia.com, Photographer: Schlierner<\/small><\/p>\n","protected":false},"excerpt":{"rendered":" At first glance, nothing. And what does all this have to do with privatization of public services? Nothing either. But first things first…<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[197],"tags":[268,291,264],"class_list":["post-11352","post","type-post","status-publish","format-standard","hentry","category-finance-accounting","tag-credit-financing","tag-risk-management","tag-treasury-management"],"acf":[],"yoast_head":"\n
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