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Germany's Greens may torpedo Merz's spending bonanza but hint at deal

  • The Greens announced they will not support the prospective government's plans for loosening debt rules for defense spending or creating a 500 billion euro infrastructure fund, as stated by co-leader Katharina Dräge.
  • Friedrich Merz, leader of the Christian Democratic Union, is forming a coalition with the Social Democrats, needing the Greens' support for a two-thirds majority in parliament.
  • The proposals include a 500 billion euro fund for infrastructure, but they will not target useful investments and may serve as a "treasure chest" for tax cuts, according to Dräge.
  • The Greens prefer a fundamental reform of debt rules in the new parliament, as expressed by co-chair Franziska Brantner.
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Bloomberg broke the news in United States on Sunday, March 9, 2025.
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