Political factions in Germany aiming to establish the next administration have come to an agreement regarding the relaxation of the nation’s stringent “debt brake” mechanism, which, according to the constitution, restricts fresh governmental borrowing to 0.35% of the country’s GDP. In light of the present security concerns, Friedrich Merz, the leader of the conservative party, stated that special measures are required to strengthen the country’s military capabilities. Furthermore, following the imposition of 25% tariffs on goods imported from Canada and Mexico, US President Donald Trump has agreed to grant a one-month exemption for cars.

Source: https://www.france24.com/en/tv-shows/business/20250305-germany-s-merz-proposes-overhaul-of-debt-brake-system-to-boost-defence-infrastructure-spending