On December 18, 2023, the Second Senate of the Federal Constitutional Court of Germany (BVerfG) handed down a ruling (case no 2 BvF 1/18) stating that Section 2 and Section 11(1) of the Act on the Promotion of Investments by Financially Weak Municipalities (Municipal Investment Promotion Act - KInvFG) are compatible with the German Federal Constitution, the Basic Law. In specific, the Court confirmed the constitutionality of the regulations on the distribution of federal financial aid among the various states.
Press release of the Federal Constitutional Court