Can Germany’s Chancellors Balance the Books?

Can Germany's Chancellors Balance the Books?

Several state premiers have called on the future federal government to modernize the country’s infrastructure and only allocate necessary expenditures.

For the future federal government, it is crucial to “initiate a political and mental time shift, accompanied by structural reforms and consolidations” said Winfried Kretschmann, the premier of Baden-Württemberg (Greens), to the Handelsblatt (Friday edition). “It would be almost irresponsible to pour money into crumbling structures.” Prioritizing and reorganizing expenditures must now take top priority.

Saxony-Anhalt’s Premier Reiner Haseloff (CDU) told the newspaper that there is “without a doubt a significant investment backlog” in Germany. “Only if we manage to strengthen Germany’s economic location can we also secure our social welfare state and prosperity for the future.”

It remains unclear whether Saxony-Anhalt will approve the financial package, as the governing Free Democratic Party (FDP) has not yet made a definitive decision. Haseloff himself said he would support the constitutional amendment.

Hesse’s Premier Boris Rhein (CDU) told the Handelsblatt that the country’s politics must be aligned with the completely changed world situation. The new debt options would make Germany “stronger, more sovereign and more resilient.” However, a repayment plan is also needed to “settle the bill.