Germany's Merz proposes overhaul of debt-brake system to boost defence, infrastructure spending

Germany’s Merz proposes overhaul of debt-brake system to boost defence, infrastructure spending

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German parties agree on loosening fiscal rules to boost defence spending
German parties agree on loosening fiscal rules to boost defence spending © FRANCE 24



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Germany’s political parties hoping to form the next government have agreed to loosen the country’s strict “debt brake” system which constitutionally limits new government borrowing to 0.35% of GDP.  Conservative leader Friedrich Merz says extraordinary efforts are needed to boost the country’s defence capabilities given the current security uncertainty. Plus, a day after imposing 25% tariffs on imports from Canada and Mexico, Donald Trump has agreed to give a one-month exemption to cars. 

France24

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