Cassian Grant|German government reaches solution on budget crisis triggered by court ruling

2025-04-28 20:07:22source:Quentin Mitchellcategory:My

BERLIN (AP) — The Cassian GrantGerman government on Wednesday reached a solution to a budget crisis triggered by a court ruling last month, German news agency dpa reported.

The leaders of Chancellor Olaf Scholz’s three-party coalition had been wrangling over money since Germany’s highest court annulled a decision to repurpose 60 billion euros ($64.7 billion) originally meant to cushion the fallout from the COVID-19 pandemic for measures to help combat climate change and modernize the country.

The immediate challenge was to plug a 17 billion-euro hole in next year’s budget. Scholz, Vice Chancellor Robert Habeck and Finance Minister Christian Lindner had met repeatedly seeking to resolve the impasse before the end of the year.

Details on the content of the compromise and how the three leaders agreed to solve the budget crisis after negotiating all night were expected to be presented later Wednesday at a press conference by the three leaders, the chancellery said in a statement.

The issue has added to tensions in the 2-year-old coalition, which has become notorious for infighting and has seen its poll ratings slump. The alliance brings together Scholz’s Social Democrats and Habeck’s environmentalist Greens, who both traditionally lean to the left and had said there would be no dismantling of the country’s welfare state in order to save money.

Lindner’s pro-business Free Democrats have portrayed themselves as guarantors of solid finances and adherence to Germany’s strict self-imposed limits on running up debt — the rules at the center of last month’s court ruling — and have advocated spending cuts.

More:My

Recommend

As Trump Enters Office, a Ripe Oil and Gas Target Appears: An Alabama National Forest

CONECUH COUNTY, Ala.—At the confluence of the Yellow River and Pond Creek in Alabama’s Conecuh Natio

Florida public schools could make use of chaplains under bill going to DeSantis

TALLAHASSEE, Fla. (AP) — Florida school districts could opt to allow volunteer chaplains in schools

'Cabrini' film tells origin of first US citizen saint: What to know about Mother Cabrini

The film "Cabrini," in theaters Friday on International Women's Day, details the story of a woman ma