German budget surplus soars as economy charges ahead

Berlin

GERMANY'S economy is in full swing, the government said on Thursday, a state of affairs that also led to a record 2016 budget surplus likely to irritate much of the rest of the European Union and play directly into election politics.

Germany's overflowing coffers are the subject of intense debate ahead of the Sept 24 federal election, with the Social Democrats promising more investment and Chancellor Angela Merkel's conservatives a mix of investment, tax cuts and debt reduction.