German Parliament Faces Key Votes on Historic €500 Billion Financial Reform

The Bundestag and Bundesrat are set to decide on a groundbreaking financial package, but political tensions and regional disagreements could pose significant hurdles.

The proposed €500 billion financial package aims to fund defense, infrastructure, and climate initiatives, requiring constitutional amendments to loosen Germany's debt constraints.
The package includes €100 billion earmarked for climate action, with 'climate neutrality by 2045' set to be enshrined in the German constitution for the first time.
Approval in the Bundesrat hinges on Bavaria's six votes, as internal divisions within the CSU-Freie Wähler coalition threaten the required two-thirds majority.
FDP leader Christian Dürr criticized the package as a 'generational debt burden,' while the Greens hailed it as a major win for climate policy.
The Bundestag is scheduled to vote on the package on Tuesday, followed by a decisive Bundesrat session on Friday, with Chancellor-designate Friedrich Merz urging swift action.