EXPLAINED: Why Germany may finally reform its debt brake
Briefly

"Friedrich Merz, leader of Germany's Christian Democrats, is open to reforming the debt brake, indicating a shift in the party's approach to economic policy."
"The debt brake, introduced in 2009, limits Germany's borrowing to 0.35 percent of GDP, designed to prevent excessive national debt for future generations."
"There’s a growing consensus among experts that the existing debt brake may hinder Germany’s ability to respond to urgent issues like climate change and geopolitical conflicts."
"Germany's next government might find itself trapped by the suicide pact of sticking to the debt brake, particularly after previous coalitions have crumbled under similar constraints."
Read at www.thelocal.de
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