The parliamentary group of the Christian Democratic Union (CDU) and Christian Social Union (CSU) has indicated uncertainty regarding the timeline and ultimate implementation of reforms to Germany’s debt brake. Steffen Bilger, the parliamentary managing director of the CDU/CSU faction, stated in an interview that no agreement exists on how results will be achieved within the Bundestag. “What has been agreed upon is a commission tasked with examining reforms to the debt brake” he said.
Any substantial reform would necessitate an amendment to the Basic Law (Germany’s constitution), requiring the support of the Left Party faction if votes from the Alternative for Germany (AfD) are to be avoided. Bilger clarified that the CDU/CSU has not committed to negotiations with, nor does it require a majority in conjunction with, the Left Party. He emphasized that the final decision ultimately rests with the Bundestag and its elected representatives.
The governing coalition agreement outlines a commitment to establish an expert commission, involving both the German Bundestag and the federal states, to develop proposals for modernizing the debt brake. This modernization aims to enable sustained additional investment in strengthening the nation. The coalition intends to complete the legislative process based on the commission’s findings by the end of 2025.
