In Germany, the leaders of the new government parties signed a coalition agreement
Kyiv • UNN
The leaders of the SPD and CDU/CSU signed a coalition agreement, paving the way for the formation of a new German government. The document records plans for border control, taxes and military service.
The leaders of the Social Democratic Party of Germany (SPD) signed a coalition agreement with the conservative bloc of the Christian Democratic and Christian Social Unions (CDU/CSU), which paved the way for the appointment of ministers in the new German government, writes UNN with reference to DW.
Details
The solemn ceremony took place on Monday, May 5, in the Gasometer district in Berlin's Schöneberg, where the corporate campus is located.
"We view the election results as a mandate for a comprehensive renewal of our country... As parties of the political center, we consider ourselves jointly responsible (for achieving this - ed.)", the document emphasizes.
On 144 pages of the agreement entitled "Responsibility for Germany", the CDU/CSU and SPD recorded what they want to achieve in a coalition format.
Border and asylum
According to the agreement, control of all borders of Germany is maintained. Asylum seekers - if there are conditions for this - will be returned to their countries of origin. At the same time, politicians reached a compromise that this would be done "in coordination with... European neighbors." The SPD insisted on this.
Federal programs for receiving asylum seekers, for example, from Afghanistan, should be terminated - "as far as possible". The reunification of families for "beneficiaries of additional protection" - persons who have not been granted asylum but are allowed to stay in the country for other reasons - is suspended for two years. The accelerated naturalization of immigrants who have integrated well in just three years, introduced by the "traffic light coalition", will be abolished, AFP reported.
Regarding the burden on business
To ease the burden on companies, the so-called "turbo amortization" is introduced this year. Companies will be able to write off 30% of the cost of purchasing new production facilities at the expense of tax every year for three years. The corporate income tax will be reduced "in five stages by one percentage point" - starting in 2028. At the same time, the CDU/CSU initially wanted the process to start in 2026.
The CDU/CSU and SPD plan to reduce the tax on electricity - "to the European minimum" - and reduce the fee for using electricity transmission networks. The goal is to reduce the burden on companies and consumers "by at least five cents" per kilowatt-hour. In addition, it is planned to introduce an industrial price for electricity for energy-intensive enterprises.
Regarding taxes
As follows from the agreement, the coalition also wants to reduce income tax for small and medium-sized entrepreneurs. This is expected to happen by the middle of the legislative period.
From 2026, the tax benefit for using your own car for trips to and from work will be increased. It will be increased to 38 euro cents, starting from the first kilometer.
Farmers will also receive support: compensation for diesel fuel costs in agricultural needs will be fully restored.
Overtime pay should be exempt from taxes. In addition, tax breaks are provided for increasing the length of the working day for part-time employment. The salary of persons who have reached retirement age and wish to continue working will not be taxed up to a threshold of 2,000 euros.
Until 2031, the level of the standard pension in relation to the average salary in the country will remain at 48 percent.
The freeze on rent increases should be extended for four years. By 2026, a group of experts is expected to develop a relevant reform for the next period.
About military service
Due to the shortage of personnel in the Bundeswehr, the CDU/CSU and SPD plan to increase the attractiveness of military service. This refers to service on a voluntary basis. Initially, the CDU/CSU called for a return to military duty.
A special commission will analyze the situation with the coronavirus pandemic. The goal is to "learn lessons for future pandemics", the agreement says.
Supplement
The signing of the document completes the process of forming a ruling coalition led by the likely future Chancellor Friedrich Merz.
Earlier, the parties determined their candidates for leading positions in the new German government. Among the innovations is the creation of a new ministry of "digitalization and modernization of the state". The average age of cabinet members increased from 50.4 to 53.1 years. The government will include ten men and eight women.
On May 6, the Bundestag will elect Merz as the new Chancellor of Germany. On the same day, members of his government will be sworn in. SPD co-chair Lars Klingbeil is to become Vice-Chancellor of Germany.
