public investment

June 6, 2025

Schuldenbremse: Taking the Foot Off the Brakes

In March, the incoming German coalition government led by Friedrich Merz from the right-leaning CDU/CSU – the Christian Democratic Union of Germany and the Christian Social Union based in Bavaria – worked with the SPD (Social Democratic Party) and the Greens to pass a historic legislative measure, loosening the stringent rules surrounding the country’s ‘debt brake’ constitutional amendment, known as the Schuldenbremse.
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