Bundestag approves 'Debt Package' – amendments to Constitution allowing increased spending on defense and aid to Ukraine
The German parliament, by the required two-thirds majority, approved the "Debt Package" – amendments to the Fundamental Law, introduced by the CDU/CSU and SPD parties, which exempt defense and security spending, including spending on intelligence services and aid to Ukraine in the amount of more than 1% of GDP, from the action of the debt brake, tagesschau.de reports.
A special fund of EUR 500 billion, financed by borrowing, was also approved for investing in Germany's infrastructure over the next 12 years.
Some 513 parliamentarians voted for the amendments, 207 against. There were no abstentions. A two-thirds majority required 489 votes in favour. The package was discussed and voted on by the old parliament.
The so-called "debt brake" in Germany is a constitutional limit on borrowing set to control public debt. It was introduced in 2009 after the financial crisis. According to it, the federal government's structural budget deficit should not exceed 0.35% of GDP.
The bill will now be submitted to the Bundesrat, the representative body of Germany's states, where it must receive final approval on Friday.
