New German coalition limits migration and lowers taxes

It worked: forty -five days after the German elections, the negotiating partners CDU, CSU and SPD have reached a coalition agreement. This again gives Germany a ‘big coalition’-a coalition between the Social Democrats of the SPD and the Christian Democrats of the CDU/CSU (who jointly participate in elections). This will « put an end to all the speculation, » said CDU leader and future Chancellor Friedrich Merz during a special press conference Wednesday afternoon.

The parties have been intensively negotiated in recent weeks. In the German media, in the meantime, speculation was made over possible agreements, the distribution of the ministries and the names of possible ministers. « You will not find much of what was suspected, and you will find much of what you had not suspected, » Merz said about the agreement.

Bridge large differences

Tax cuts, cutbacks on social policy, lower energy prices and a stricter migration policy: the plans are set out in an agreement of 144 pages that Gerantwootung für Deutschlandresponsibility for Germany, is called. At the press conference, the party leaders Friedrich Merz of CDU, Markus Söder from Sisterpartij CSU and Lars Klingbeil and Saskia Esken from SPD presented the first plans.

They were not easy negotiations, all four party leaders emphasized. In an internationally overstrained climate – with actual and trade wars – the negotiating parties had to bridge major differences. From ‘beloved projects’, all parties had to ‘necessarily’ distance, said Klingbeil, to achieve a stable government despite the differences and sometimes fierce election campaign.

Who has which principles must give up to reach this agreement and what are the surprises in it?

Migration

Both Merz and Söder listed various measures that must limit migration, such as persistent border controls, rejections of asylum seekers on the border and expansions of ‘criminal’ Syrian and Afghan refugees. Family reunification will also be stopped over the next two years, migrants can only become German citizens after five years (instead of three), the controversial payment card is introduced throughout Germany with which asylum seekers can only use their allowances in specific places, and Ukrainians lose their special status.

The attentive reader discovers many elements from Merz ‘previously submitted motion which, under loud criticism, was hired in the Bundestag with the support of the radical-right Afd. The SPD voted against. In the campaign, that party also emphasized the importance of a stricter migration policy, but also wanted to keep an eye on help to people in need. Although Klingbeil Germany still one during the press conference Einwanderungsland (a migration country) and called the right to asylum ‘inviolable’, the party seems to have made substantial concessions in this area.

Markus Söder spoke of a « change of course » in the field of migration. The Ministry of the Interior, which is about this, is allocated to his party.

Finance and social policy

Also in this area victories for CDU/CSU: taxes (such as corporation tax) are going down and Bürger money (The social benefit of Germany) is being restricted. However, the minimum wage is increased to 15 euros per hour and the relatively affordable ‘DeutschlandTicket’ for public transport remains – spearheads of the SPD. Esken, who represents the left side of the SPD, also mentioned a committee that must realize equal wages for women.

One of the larger tasks was already settled. Last month, the German Bundestag changed the constitutional provision relaxation of the Debtto enable billions of investments in defense, infrastructure and (at the insistence of the Greens) climate. With that, Germany broke a hobby horse from the Union with the historically economical budget policy.

The question is how much all plans from the agreement will be realized: during the short questions round, Klingbeil said that all plans are ‘subject to the financial feasibility.

CSU party leader Markus Söder, CDU party leader Friedrich Merz, and the SPD co-chairmen Lars Klingbeil and co-chairman Saskia Esken arrive at the press conference on the coalition agreement.

Photo Hannibal Hanschke/EPA

Ministries

It is surprising that, despite the poor election result (16.4 percent of the votes, compared to 28.5 for CDU/CSU), seven ministries have managed to bring in. It was expected that there would be five. De Unie jointly receives ten ministries: seven for CDU, three for CSU.

There are two completely new ministries. The Ministry for Digitization and State Modernization has to remove the loggee and still faxing Germany from the bureaucratic slop. The Ministry for Research, Technology and Space Department, or, in the words of Markus Söder, a « SuperHighTechministerie » is also new.

CDU receives the Ministry of Foreign Affairs, which fits with Merz ‘ambition to make foreign politics – with a strong, united Europe towards an unreliable America and an aggressive Russia – a center of gravity. SPD receives the Ministry of Finance and that of Labor and Social Affairs. These are two important posts: the first is also the Vice Chancellor and the second has the largest budget of all ministries. Pensions, an important topic in Germany, also fall under that ministry.

Friedrich Merz is expected to be appointed as new Chancellor on 7 May. First, the members of the various parties still have to agree to the cooperation.

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