Political and Historical Investments Unveiled: Highlights from 13/2025
In the political landscape of Germany, a significant issue has been under debate for several years – the reform of the debt brake and the allocation of funds for the German army and infrastructure. This issue, which led to the collapse of the traffic light coalition, is now being addressed by Friedrich Merz, the chairman of the CDU and potential future German chancellor.
Back in 2020, the editorial team at APuZ published the first of five texts on this topic. These texts, which were also published in 2024 and 2025, provide a valuable insight into the evolving debate. The texts explored the differing perspectives of various political parties on the matter.
The SPD generally favors loosening the debt brake to allow more fiscal flexibility and permanent higher borrowing limits, supporting significant investment in the military and infrastructure. On the other hand, the Union (CDU/CSU) tends to be more skeptical about increasing debt, emphasizing fiscal discipline. However, they supported managing the special fund with some restrictions in 2024-2025.
The Greens conditioned their support for debt rule loosening on strictly additional investment spending, especially via special funds, to prevent shifting of budgets. They emphasized constitutional adherence to 'additionality' of investment. Left-wing parties like Die Linke push for less military spending but more social investments, while parties like the AfD criticize increased spending and debt as irresponsible and prone to deepening the crisis.
In 2020, Merz proposed the creation of a multi-billion euro 'special fund' for investments in the German army and infrastructure. This proposal aimed to shield these investments from the debt brake constraints but has led to political controversies over budget priorities and constitutional clarity.
Recently, Merz has reiterated his emphasis on the need for reform of the debt brake. He aims to decide on this issue within the next three weeks. The proposed special fund, if approved, would enable long-overdue investments in the German army and infrastructure.
The re-reading of these texts published in APuZ is particularly worthwhile as we approach this crucial decision. The debate, which has been ongoing for several years, promises to shape the future of Germany's military and infrastructure investments. Stay tuned for updates on this developing story.
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