Germany’s New Leadership Bets Big on Risky Gamble

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The CDU/CSU and SPD aim to secure several hundred billion euros in new debt. They plan to advance this proposal through the current session of the Bundestag during extraordinary meetings. While this action is legally permissible, one might question whether it is truly justified.

The center-left Social Democratic Party (SPD) and the center-right Christian Democratic Union and Christian Social Union (CDU/CSU), which are presently attempting to
establish the fresh administration in Germany
— aims to borrow unprecedented sums of money. To accomplish this, they must amend the constitution, which requires the consent of at least two-thirds of the Bundestag’s membership.

On March 25, the recently elected Bundestag holds its inaugural meeting. Following electoral reforms, the number of Members of Parliament has decreased from 736 to 630. The elections held on February 23 resulted in a shift in the distribution of power. Numerous representatives who previously served will not return, particularly those affiliated with center-left parties which formed part of the previous administration experienced significant losses in public backing. In this new legislative body, both center-left and center-right factions have weakened their positions, while combined, the far left and far right now command over one-third of all seats.

On February 11, Bundestag President Bärbel Bas (SPD) concluded what many believed would be the final session of the previous parliament. She stated, “Today marks the conclusion of this session and with it, the close of an exceptional legislative period.” This particular tenure stood out primarily due to the collapse of the coalition between the SPD, Green Party, and FDP in November 2024, nearly a full year prior to when their term was originally set to conclude.

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The Greens are tilting the balance.

Nonetheless, it is exactly this veteran parliament that is scheduled to meet twice more before the new assembly assumes power on March 25. These unconventional additional sittings of the current Bundestag aim to put to a vote an amendment to the constitution. This move would allow the CDU/CSU and SPD to obtain further resources for strengthening the military and investing in Germany’s deteriorating infrastructure.

Even though talks about establishing a new government have only started, the previous parliament aims to swiftly loosen the constitutional debt ceiling. This move will facilitate substantially greater funding for the armed forces as well as a special fund of €500 billion ($546bn) designed to revitalize the struggling infrastructure.

Together with the Green Party, the SPD and CDU/CSU could approve the constitutional changes required. Whether this will happen remains to be seen. The Greens are still part of the caretaker government, but are already preparing for their future role in the opposition after their defeat in the Bundestag elections with just 11.6%.

Voter deception?

The Greens have indicated that they are unwilling to assist their political rivals unless they receive something in exchange. This stance is particularly firm because the CDU/CSU and their lead candidate for chancellor, Friedrich Merz, have explicitly rejected any reforms to the debt brake. In contrast, the Greens, along with the SPD and The Left party, have been advocating for such changes for quite some time now.

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“If the CDU and CSU reject certain policies before an election, campaigned on them during the elections, but become unconstrained by these promises just a week after the voting process, this could be termed as misleading voters,” stated Hans Vorländer, who directs the Dresden Center for Constitutional and Democratic Studies, speaking with the epd news agency.

He suggests that it would be prudent to distinguish between boosting funding for the Bundeswehr and providing extra resources for infrastructure, while also casting doubt on the efficacy of having previous parliaments decide matters with long-lasting implications.

The shift in U.S. strategy regarding the Ukrainian conflict during President Donald Trump’s tenure and the subsequent potential fracture in the transatlantic security alliance are exerting pressure to take action, as Vorländer pointed out. Nevertheless, the issue of deteriorating infrastructure has been recognized for quite some time now, and there isn’t any urgency to allow the current legislature to swiftly approve public debt within the coming period, he further elaborated.

The ex-President of the Federal Constitutional Court, Hans-Jürgen Papier, shares a comparable perspective regarding the plans proposed by the upcoming administration. In an interview with the Funke Mediengruppe publications, he expressed his reservations about the specific loan designated for infrastructure projects. According to him, such loans are difficult to rationalize as they tend to result in overspending and create an overly large governmental structure, which he cautioned against.

Legal challenge

The extreme right-wing party Alternative for Germany (AfD) along with the Left Party has brought the matter before the Constitutional Court. These two parties notably enhanced their standings during the Bundestag elections held on February 23 and now possess enough votes to impede potential constitutional changes in the upcoming legislative session.

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“Reconvening the previous Bundestag simply because the CDU/CSU and SPD dislike the majorities in the new assembly shows disrespect toward voters and raises legal concerns,” stated Christian Görke, Parliamentary Secretary of the Left Party. “Only the recently elected Bundestag has the authority to make such determinations,” noted AfD member Stephan Brandner.

Nonetheless, former judge Hans-Jürgen Papier doesn’t anticipate the court taking action. He stated, “From a legal standpoint, I see no issue with amending the debt brake using the previous majority.” This comment refers to Article 39 of the Basic Law, which stipulates that an election period concludes once the new parliament assembles. Papier added, “Consequently, the current sitting Bundestag remains entirely democratic in its legitimacy.”

Subsequent generations will carry this burden.

Democracy researcher Hans Vorländer has no doubts about this either. The Bundestag is sovereign and can do as it pleases. Nevertheless, he has his reservations about the long-term impact of the rise in public borrowing: “Future generations are being burdened in an unacceptable way,” he warned.

Meanwhile, the President of the old Bundestag, Bärbel Bas, has issued invitations to the first special session on March 13. Perhaps some of the lawmakers will remember the words she spoke in her farewell speech: “This country has already successfully mastered many challenges. It is not least up to us, the members of the German Bundestag, to strengthen confidence in liberal democracy,” Bas said.


This article was originally written in German.

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Author: Marcel Fürstenau

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