Germany agrees on multi-billion dollar defense spending

The future coalition agreed to create a special fund.

German political forces negotiating a coalition led by future Chancellor Friedrich Merz have agreed to spend hundreds of billions of euros on defense and infrastructure.

This is reported by BILD . It is noted that Merz announced the creation of a special infrastructure fund, which will be financed by loans for the next 10 years. We are talking about a sum of more than 500 billion euros.

In addition, the parties agreed that defense spending that exceeds 1% of GDP will be exempt from debt restrictions.

In order to allow multi-billion dollar loans, the “debt brake” must be suspended. The changes are planned to be carried out by a majority in the still existing Bundestag – before the new German parliament convenes.

(C)UNIAN 2025