Germany’s probable next chancellor Friedrich Merz said on Friday that he got the crucial support of the Green Party to massively raise state loans, paving the way for the current parliament to take the deal next week.
The Conservative Merz Block and the Social Democratic Party, which are in negotiations to form a government after last month’s election, proposed a 500 billion euros fund for infrastructure and changes in tax rules in order to reinforce defense and boost the growth of Europe’s largest economy.
With the support of the Green Party, they now have the majority of two thirds necessary to approve the constitutional changes, with a scheduled vote for next week.
Merz has justified the need to approve the package in the current parliament after recent changes in the United States under President Donald Trump, warning that a hostile Russia and an unconvable US may make the continent exposed.
“It’s a clear message for our partners… but also for the enemies of our freedom: we are able to defend ourselves,” said Merz, whose conservatives won the election at a press conference.
“Germany is back. Germany is making a significant contribution to the defense of freedom and peace in Europe, ”he added.
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With an outcome surpassed, the Constitutional Court still needs to decide whether the current parliament can approve such consequent measures and whether parliamentarians have enough time to completely evaluate them. A decision is expected before Tuesday’s vote.
Merz wishes to guarantee funds before a new parliament takes office on March 25, where they risk being blocked by a larger contingent of far-right and extreme left parliamentarians.
The commitment to the Green Party includes the allocation of 100 billion euros from the climate and economic infrastructure fund, he said.
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The agreement also includes a change in the constitution that would make spending on defense, civil protection and disasters, intelligence and information security services exempt from loan boundaries – the so -called “debt brake” – if they exceed 1% of economic production.
Reforms would mark a reversal of tax rules imposed after the global financial crisis of 2008, but since then criticized by many as outdated and harmful to Germany.
