The German parliament has passed a landmark bill allowing the country to take on a massive €1 trillion debt to boost defence and infrastructure.
The bill was passed with the required two-thirds majority of the Bundestag—with the support of the centre-right CDU/CSU, the Social Democrats, and the Greens.
A total of 513 MPs voted for the draft law, and 207 voted against it. No one abstained.
However, critics say the move is undemocratic as it was pushed through in the outgoing parliament. In the new parliament, which was elected in February but will not sit until next week, the three aforementioned parties no longer have a two-thirds majority.
The constitutional court did not side with the voters, either, and rejected legal challenges by the right-wing Alternative für Deutschland (AfD), the far-left Die Linke, the left-wing nationalist Bündnis Sahra Wagenknecht, as well as the liberal FDP to block the vote.
The legislation now goes to the upper house of parliament, the Bundesrat, where a vote is scheduled for Friday.
CDU leader Friedrich Merz, Germany’s likely next chancellor, wants to invest up to €1 trillion in the country’s defence capabilities over the next decade—half of it directly in the armed forces and the other half in wider defence infrastructure development.
With this move, he has broken his promise not to reform the so-called debt brake that puts limits on borrowing. He has also given in to left-wing demands by his likely future coalition partner, the SPD, as well as the Greens, who have successfully forced Merz to channel €100 billion to the government’s existing climate fund in exchange for their votes.
In the debate preceding the vote on Tuesday, Merz said he had a “clear conscience.” As in previous debates, he once again pointed at the precarious nature of European security, adding that Germany must act now to strengthen its defence, which has been neglected in recent decades.
„Selbstverständlich ringen wir mit einem solchen weitreichenden Schritt. Aber angesichts der großen Herausforderungen, die durch die Außen- und Sicherheitspolitik hinzugekommen sind, können wir die Grundgesetzänderungen am heutigen Tag mit gutem Gewissen beschließen. Sie sind in… pic.twitter.com/lgwE6rolAY
— Friedrich Merz (@_FriedrichMerz) March 18, 2025
Social Democrat co-leader Lars Klingbeil also stressed that the financial package is necessary because peace on the continent is in danger, with “an aggressive Russia” and “an unpredictable United States” on either side of Europe.
Bernd Baumann, parliamentary group leader of the second largest party, the AfD, criticised Merz for wanting to buy power with new debts, “like in a banana republic.” The CDU/CSU has broken all its election promises, and voters have been deceived, he said. Although the AfD agrees on increased defence spending, it believes the huge debt will undermine Germany’s financial stability.
Es ist empörend, wie Friedrich Merz unser Grundgesetz für seine Schuldenpläne missbrauchen will! Mit Unterstützung von SPD und Grünen plant er, die Schuldenbremse zu lockern und ein 500-Milliarden-Euro-Infrastrukturpaket zu schnüren. Doch damit nicht genug: Durch diese… pic.twitter.com/cAM3YoI4u4
— AfD (@AfD) March 18, 2025
But it is not only opposition parties that are angry: according to daily Die Welt, CDU party members are raging at the fact that Friedrich Merz deceived his own voters by promising not to reform the debt brake, and then doing so even before becoming chancellor.
“How am I supposed to explain the change of course to our members?” Matthias Grahl, a district councillor in Saxony asked, adding that the worst of the anger within the CDU “is yet to come.”
“Our members are wondering where our credibility is in view of the easing of the debt brake and billions in special funds. After all, we had promised something else,” said Bettina Dickes, a local politician in Rhineland-Palatinate.
According to Die Welt, the discontent is also reflected in the fact that there has been a higher number of defections from the party than usual.