Tag: Europe

“Germany’s three-party ruling coalition — consisting of the Social Democratic Party (SPD) and the Greens on the left side of the political spectrum, and the fiscally conservative Free Democratic Party (FDP) on the center right — was never a match made in heaven. Both the SPD and the Greens favor a strong social safety net and big investment to speed economic growth and the green energy transition. The FDP, on the other hand, believes in less government and less spending.
You may ask yourself why this triad came together in the first place. Good question! Simply put, there weren’t a lot of options given Germany’s increasingly splintered political landscape, as the rise of upstart parties has made it more difficult for the big-tent parties — the SPD and the conservative Christian Democratic Union (CDU) — to form two-party coalition governments.

The fragmentation has worsened with the rise of the far-right Alternative for Germany (AfD) party, now polling in second place nationally, and will continue with the arrival of populist-left newcomer Alliance Sarah Wagenknecht (BSW). Post-war Germany hasn’t had much experience of larger coalitions (Scholz’s fallen triad was the first three-way alliance in over six decades), but the ongoing division may make such coalitions — which tend to be more volatile — the new norm.

The key moment in the early demise of Scholz’s coalition came a year ago, when Germany’s top court handed down a bombshell ruling that ended a workaround the government had been using to spend money without violating the country’s constitutional “debt brake.” In order to circumvent those self-imposed fiscal strictures, Scholz’s coalition had relied on a network of “special funds” outside the main budget. The court deemed the practice unlawful, blowing a €60 billion hole in the federal budget in the process.

After that, Scholz’s coalition, which had relied on the free flow of money to paper over its major ideological differences, was not long for this world. A string of embarrassing election defeats and record-low approval ratings prompted the coalition parties to play to their bases to revive their political fortunes, worsening their incessant squabbling.”

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“Germany will hold its federal snap election on Sunday Feb. 23, 2025, lawmakers and officials in three of the major parties told POLITICO”

https://www.politico.eu/article/olaf-scholz-germany-snap-election-what-happens-now/