Germany’s Friedrich Merz strikes ‘game-changing’ deal to boost defence spending
www.ft.com
Move to relax debt brake marks historic shift in country’s conservative approach to borrowing

Archive: https://archive.is/20250304200800/https://www.ft.com/content/316ef73e-cf54-4d38-af5b-7166c684a13a

A provision would exempt defence spending above 1 per cent of GDP from the debt brake rules, allowing Germany to boost spending on its armed forces by an unlimited amount at a time when Europe faces the prospect of losing US guarantees that have underpinned its security since Donald Trump began his second presidential term.

The future coalition partners will introduce another constitutional amendment to set up a €500bn fund for infrastructure, which would run over 10 years. They are also planning to loosen debt rules for states.

  • excral@feddit.orgEnglish
    2·
    1 day ago

    It is so disgusting that Merz deliberately prevented this with pleasure when the traffic light coalition was still in power.

    The traffic light coalition, or at least the remaining red-green part of it, is still in power. The new Bundestag is elected but has not constituted yet. Merz now tries to use the majorities of the parting Bundestag and government to secure funds for his time in office, but his proposal will have the next governments run into pretty much the same problems again.