The images of war we see every day in Ukraine can not leave us unaffected, said German Chancellor Olaf Solzsto in the context of the general budget debate from the Bundestag. However, geopolitical developments do not leave German fiscal planning unaffected either. “Putin is destroying Russia” and the consequences are already evident in Germany. “Refugees from Ukraine are welcome in Germany” and “there will be many”. “Ukraine can count on our support,” Olaf Solz said at the beginning of his speech, announcing that emergency measures would be taken under this year’s budget.
He said negotiations on Ukraine’s future belonged exclusively to its president, Volodymyr Zelensky, and the Ukrainians, but that it owed Germany and Europe to defend “democracy, freedom and the rule of law”, but stressed that “NATO he will not take part in this war. ”
Special Fund for the army, pandemic, climate
The second key point of Solz’s speech, however, was the package of 100 billion euros to be spent on strengthening the German army (Bundeswehr) on the basis of four points: First, there must be a constitutional revision. Secondly, these are funds that will be allocated in the long run to enhance security. Thirdly, both the Maastricht European criteria and the provisions of the German Constitution on “debt braking” must be taken into account. Fourth, these actions must be in line with the German Government ‘s climate objectives.
Energy also played a key role in Soltz’s speech, with the chancellor emphasizing the goal of energy dependence on Russian gas, oil and coal. For the time being, however, he ruled out the possibility of an immediate “abstention” from the use of Russian gas. The extraordinary nature of the budget for 2022 is also justified by the needs that continue to arise from the management of the pandemic and the goal of climate neutrality for the coming years. As he said, Germany must acquire “energy efficiency” and in fact “quickly, not slowly”.
The official opposition is asking for assurances
At the same time, the leader of the Christian Democrats, Friedrich Mertz, harshly criticized the government’s fiscal planning from the German parliament, downplaying the importance of Germany’s “historic turn” in the field of defense and security because many points in the 2022 budget he does not “come out” mathematically in practice.
Finally, he asked for specific assurances from Solz on how the German government will be able to consistently meet the defense spending target of 2% of GDP in the coming years, in line with NATO targets. Regarding the future financing of the German army by the special Fund, the Christian Democrats are asking for further clarifications in order to give their approval, as well as a special law that will define the way of its financing.
Dimitra Kyranoudi, Berlin
Source: Deutsche Welle
Source: Capital
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