German conservative leader Friedrich Merz has clinched a massive financial package to boost defense and infrastructure spending, ahead of a crucial vote in parliament next Tuesday. The deal aims to revamp the country’s military capabilities and address its aging infrastructure.
Merz, who is expected to become Germany’s next chancellor, said the agreement sends a clear message that “Germany is back” and will play a major role in defending freedom and peace in Europe. The package includes:
– A significant boost in spending on defense, civil protection, and intelligence
– An €500bn infrastructure fund for investments over 10 years, including €100bn for climate-protection initiatives
– Germany’s 16 states allowed to borrow up to 0.35% of GDP above the debt limit
The deal has been agreed upon by Merz’s party, the Social Democrats, and the Greens, with a two-thirds majority needed in parliament to pass the changes. However, the far-right Alternative for Germany (AfD) party may object to the reforms.
Urgent motions by the AfD and the Left party were rejected at the constitutional court on Friday, paving the way for the vote. The package is seen as a major step forward for Merz’s government, which faces challenges from the AfD and the Left.
Source: https://www.bbc.com/news/articles/cvgd3d427kqo