“Germany has agreed on a billion-dollar plan for defense and infrastructure within the country, as well as funds for UkraineLeading German parties have agreed on a financial package for defense and infrastructure. An increase in aid to Ukraine by three
billion euros has also been agreed.”, — write: unn.ua
Transmits UNN with reference to Tagesspiegel, Tagesschau and DPA.
In Germany, the leading political forces CDU/CSU and SPD have reached a compromise with the “Greens” on the planned financial package for defense and infrastructure. As indicated, 100 billion euros from the infrastructure fund of 500 billion euros will be directed to climate protection and climate-friendly restructuring of the economy. Another 100 billion euros are reserved for the federal states.
I am very satisfied with both the content and the result
Key topic – increasing defense spending.
In particular, during financial negotiations, the CDU/CSU, SPD and the Greens agreed to increase aid to Ukraine by three billion euros. After reaching the agreement, the leader of the CDU faction, Friedrich Merz, said that Federal Chancellor Olaf Scholz (SPD) agreed to allocate funds as soon as the financial package for defense and infrastructure is agreed.
In general, for Germany and for partners (including Ukraine), we are talking about the following links, for which “additions” of financial resources are already planned:
- defense spending;
- civil defense costs,
- intelligence services,
- information technology security;
- support for states that have suffered international attacks;
The above-mentioned links should be exempt from the debt brake, in case of exceeding 1% of gross domestic product.
Other areas on which a compromise has been reached in the Bundestag
- Additional freedom of action for the federal states
CDU/CSU and SPD have now also agreed with the Greens to allow the federal states a structural deficit of 0.35 percent. Until now, the federal states had to fully balance their budgets, that is, they were not allowed to borrow. For all federal states together, this amounts to 16 billion euros. The federal states will also receive 100 billion from a special infrastructure fund.
- Special infrastructure fund
The special fund for infrastructure in the amount of 500 billion euros will remain in place. However, all investments must now be additional.
They are additional if they exceed 10 percent of the federal budget for investments. Currently, this amounts to 50 billion euros: All investments exceeding this amount can be financed for 12 years from a special fund.
The Climate and Transformation Fund (KTF) should be endowed with 100 billion euros. It is only mentioned in the Basic Law as a beneficiary. This should enable additional investments to achieve climate neutrality by 2045.
CDU leader Merz said he was very pleased with the agreement, Germany had returned. SPD leader Klingbeil spoke of a powerful incentive for the country. The Bundestag is expected to make a final decision on the debt package next Tuesday.
Let us remind you
The candidate for Chancellor of Germany from the CDU confirmed the immutability of the position regarding the transfer of Taurus missiles to Ukraine. Merz stressed Ukraine’s right to strike at military facilities in the Russian Federation.
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