Al Mayadeen English

  • Ar
  • Es
  • x
Al Mayadeen English

Slogan

  • News
    • Politics
    • Economy
    • Sports
    • Arts&Culture
    • Health
    • Miscellaneous
    • Technology
    • Environment
  • Articles
    • Opinion
    • Analysis
    • Blog
    • Features
  • Videos
    • NewsFeed
    • Video Features
    • Explainers
    • TV
    • Digital Series
  • Infographs
  • In Pictures
  • • LIVE
News
  • Politics
  • Economy
  • Sports
  • Arts&Culture
  • Health
  • Miscellaneous
  • Technology
  • Environment
Articles
  • Opinion
  • Analysis
  • Blog
  • Features
Videos
  • NewsFeed
  • Video Features
  • Explainers
  • TV
  • Digital Series
Infographs
In Pictures
  • Africa
  • Asia
  • Asia-Pacific
  • Europe
  • Latin America
  • MENA
  • Palestine
  • US & Canada
BREAKING
Israeli media: Finance Minister Smotrich announces the opening and commencement of construction of a new settlement in Jabal Abu Rubin, near Beitunia in the West Bank.
Local Syrian sources to Al Mayadeen: Clashes between local fighters and Israeli occupation soldiers around the Maariyah barracks in the far western Daraa countryside.
Khatib: We will reveal the documents soon.
Khatib: The operation was carried out some time ago, but we preferred to delay announcing the news to ensure the operation’s safety.
Khatib: We are refraining from revealing the methods used to transfer the documents at this time.
Khatib: The methods used to transfer the documents into Iran are just as important as the documents themselves.
Minister Khatib: We obtained additional documents that enhance Iran’s offensive capabilities.
Minister Khatib: We obtained complete nuclear documents and documents concerning “Israel’s” relations with Western countries and the United States.
Minister Khatib: What we obtained is truly a highly important intelligence treasure, strategically, operationally, and practically.
Minister Khatib: What happened is a very significant intelligence event, and it cannot be reduced to merely obtaining thousands of documents.

Germany's ruling coalition facing decisive 2025 budget standoff

  • By Al Mayadeen English
  • Source: Agencies
  • 20 Jun 2024 13:10
3 Min Read

The talks regarding the government's 2025 budget will determine whether Chancellor Olaf Scholz's coalition remains in office.

Listen
  • x
  • Germany
    (L-R) German Chancellor Olaf Scholz reacts as German Defense Minister Boris Pistorius and German Interior Minister Nancy Faeser chat prior to the start of the weekly cabinet meeting at the Chancellery in Berlin, on June 19, 2024. (AFP)

The German government is embroiled in a heated dispute over the 2025 budget, raising concerns about the stability of Chancellor Olaf Scholz's coalition, AFP reported.

Scholz's Social Democrats (SPD), the Greens, and the liberal FDP, who took office in 2021, have until the end of the current parliamentary term on July 3 to reach a compromise.

FDP Finance Minister Christian Lindner, known for his strict fiscal policies, is demanding nearly 30 billion euros ($32 billion) in savings, a proposal met with resistance from the Greens and SPD.

Experts warn this budget standoff could potentially collapse the government.

The Sueddeutsche Zeitung daily highlighted the significance of these talks, suggesting they will determine whether the coalition remains in office.

High inflation, manufacturing downturn to blame

This budget negotiation is notably more challenging than previous ones, Jacques-Pierre Gougeon, a German politics expert at the French Institute for International and Strategic Affairs, told AFP.

He cited Germany's recent economic struggles, including high inflation and a manufacturing downturn, as exacerbating factors.

Related News

EU will unite against Trump tariffs, but open to 'compromise': Scholz

Germany's Sholz says 'strong Ukraine' essential for Europe's security

The German Finance Ministry has projected tax revenues for 2025 to be 11 billion euros lower than expected. Additionally, a November ruling by Germany's top court found that the coalition violated the "debt brake," a constitutional limit on borrowing, further restricting new spending.

The coalition parties are also grappling with declining support following poor results in the recent European Parliament elections, where the opposition conservative CDU-CSU bloc and the far-right AfD came first and second, respectively.

A major point of contention is unemployment benefits. Lindner advocates for restricting payouts, arguing they are too costly and do not provide enough of an incentive to get people to return to work. The SPD, however, opposes this idea, as improving benefits was a key campaign promise in 2021 aimed at regaining lower-income voter support.

"Politically, the Social Democrats cannot afford to give it up," Gougeon indicated.

Diplomacy and defense spending also divide the parties. Defense Minister Boris Pistorius of the SPD seeks increased funding for the military, exempting it from the debt brake.

But Foreign Minister Annalena Baerbock of the Greens considered that "it would be disastrous to have to say in a few years' time: we saved the debt brake at the expense of Ukraine and the European security order."

Despite calls to relax debt rules, Lindner and the FDP firmly oppose any changes, considering the debt brake essential.

Scholz, Lindner, and Economy Minister Robert Habeck are set to meet on Sunday to attempt to resolve the crisis. The goal is to avoid a "budget crisis from turning into a crisis of confidence," which could trigger new elections, as reported by the left-leaning daily TAZ.

Ultimately, the parties may be motivated to compromise, aware that a government collapse and subsequent elections would likely not be in their favor.

They "know that they would be swept aside if there were new elections, and will want to avoid them", suggested Gougeon.

Read more: Germany says can no longer give Ukraine Patriot defense systems

  • Olaf Scholz
  • SPD
  • Germany

Most Read

The logo of the Iranian Ministry of Intelligence (wikidata)

Iran acquired thousands of sensitive Israeli documents: Exclusive

  • Politics
  • 7 Jun 2025
A Palestinian woman mourns as she embraces the body of her daughter Mayar Abu Odeh, 8, who was killed in an Israeli army strike on Gaza. at Al-Shifa Hospital in Gaza City, Wednesday, June 4, 2025. (AP)

French port workers block arms shipment to 'Israel' amid Gaza genocide

  • Politics
  • 4 Jun 2025
New Syrian group claims Golan strike, vows resistance to 'Israel'

New Syrian group claims Golan strike, vows resistance to 'Israel'

  • Politics
  • 4 Jun 2025
Palestinians struggle to get donated food at a community kitchen in Khan Younis, southern Gaza Strip, Monday, June 2, 2025. (AP)

Boston Consulting Group withdraws from GHF

  • Palestine
  • 3 Jun 2025

Coverage

All
War on Gaza

Read Next

All
An aerial view shows sections of the columns in the ancient city of Palmyra, Syria, Saturday, January 25, 2025 (AP)
Arts and Culture

Syria’s ancient sites looted as artifacts flood online markets

Pope Leo XIV waves as arrives to celebrate a Mass for the Jubilee of New Religious Associations on Pentecost Day in St. Peter's Square at the Vatican, on June 8, 2025. (AP Photo/Andrew Medichini)
Politics

Pope Leo criticizes rise of nationalism, urges open borders and unity

Madleen ship faces Israeli threats as it approaches Gaza coast
Politics

Madleen ship faces Israeli threats as it approaches Gaza coast

Italian Premier Giorgia Meloni, right, arrives for the celebration of Republic Day in Rome, Friday, June 2, 2023 (AP)
Politics

Italy holds vote on citizenship, labor law reforms

Al Mayadeen English

Al Mayadeen is an Arab Independent Media Satellite Channel.

All Rights Reserved

  • x
  • Privacy Policy
  • About Us
  • Contact Us
  • Authors
Android
iOS