Germany Boosts Defense Spending in Seismic Policy Shift

German lawmakers have approved a substantial increase in defense and infrastructure spending, a move signalling a significant shift in the nation's security policy. 

The Bundestag's vote, achieved by a two-thirds majority, allows for the exemption of defense spending from strict debt regulations and establishes a €500 billion infrastructure fund.

This historic decision, driven by growing concerns over European security, particularly in light of the ongoing conflict in Ukraine, marks a departure from Germany's traditionally restrained approach to military expenditure. The move is widely seen as a response to evolving geopolitical realities and a desire to strengthen European defense capabilities.

This influx of funding is expected to drive investment in advanced military technologies, including simulation and training systems.

The decision, hailed by EU Commission President Ursula von der Leyen as "excellent news," underscores Germany's commitment to European security and its willingness to invest in its defense capabilities. The legislation now awaits approval from the Bundesrat, the upper house of parliament, before becoming law.