Bundestag to Vote on Increased German Military Spending
Germany’s lower house, the Bundestag, will today vote on a law to boost the country’s military budget.
The governing coalition‑led by the Social Democratic Party (SDP)‑recently drafted a law that would significantly increase the supply of necessary military equipment to the Bundeswehr—Germany’s armed forces—in the light of Russia’s ongoing aggression in Ukraine. While Germany has been executing a disarmament policy since the Second World War, the new law would permit Berlin to purchase F-35 stealth jets and other high-grade combat equipment from the US, making Berlin a regional powerhouse.
As the lower house will likely approve the bill along with the remaining official organs, expect a transformation of Berlin’s defense structure during the short-to medium-term, as Berlin will adapt a more militarized policy. With that being said, the decision will also likely draw criticism from liberal circles across Berlin. This is partly because the new law has the potential to worsen the current inflation in the country as Berlin will be obligated to reserve roughly 2% of its GDP for defense spending. That said, while the increase in military spending will create a brief rise in inflation rates, the SDP’s popularity will remain unaffected by this during the long term.
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