Another article in the Bank’s current Monthly Report explores the options for further developing central government’s debt brake. This article first proposes a specific change to a mechanism known as the cyclical adjustment procedure. “Under this proposal, budgetary policy has more time to make adjustments in the event of revisions to expected economic developments and tax estimation errors,” the authors write. It then also discusses various adjustments to the debt brake. The economists write that such reforms could reinforce the binding effect of the debt brake, adding that measures that bend the rules of the debt brake are problematic. For instance, the Federal Government applied an escape clause during the coronavirus crisis to provide advance funding on a substantial scale to future government projects with no direct connection to the pandemic.