FRANKFURT: Germany could pocket billions of euros in extra tax revenues in coming years, updated estimates on Thursday showed, giving the next government extra fiscal headroom to pay for green investments.

"With succesful financial management we have created room to play with for the next government," Finance Minister Olaf Scholz told journalists at a press conference. Scholz, who is likely to succeed Angela Merkel as chancellor after his party, the Social Democrats, won a general election in September, said the new estimates from the finance ministry were "pleasing".