Belgian Planning Bureau flags high debt risk for Brussels, Wallonia; Flanders moderate

The Federal Planning Bureau's scenario analysis indicates a high medium-term risk of debt unsustainability for the Walloon Region, Brussels-Capital, and the French Community, with Flanders at moderate risk. This corroborates the Brussels government's fiscal stance, as Minister De Smedt reaffirms a balanced budget target by 2029 and threatens additional measures. The assessment raises concerns about subnational fiscal sustainability in Belgium, potentially pressuring regional bond spreads and complicating federal budget negotiations.