Germany discussing creation of fund to support army and step up aid to Ukraine — Bloomberg

According to the outlet’s source, likely future German Chancellor Friedrich Merz has begun negotiations with the Social Democrats on the rapid approval of 200 billion euros for special defense spending.

The Christian Democratic Union led by Merz and the Social Democratic Party of Germany are discussing ways to circumvent strict limits on public borrowing to free up resources to strengthen the country's army.

Previously, Merz promised to increase investments in the German army to counter Russian aggression.

One option to implement his plans is to approve a special fund for new military spending and aid to Ukraine. Other proposals are to expand the existing 100 billion euro fund or adapt the so-called debt brake to allow for additional defense spending.

Either option would require a two-thirds majority in parliament, but that is complicated by the fact that the far right and radical left have a blocking minority in the Bundestag, Bloomberg points out.

Merz and SPD leader Lars Klingbeil are scheduled to call today, February 25, to discuss support for Ukraine and defense spending.