Beautiful Virgin Islands

Tuesday, Jun 03, 2025

Germany approves historic bailout

Germany approves historic bailout

Angela Merkel’s government has secured a €156 billion rescue package, equivalent to half of the country’s normal annual spending
Chancellor Angela Merkel’s government secured emergency spending, unlocking a historic rescue package designed to cushion the blow of the coronavirus pandemic.

A majority of lawmakers in the Bundestag voted on Wednesday to allow additional borrowing to combat the crisis, according to the legislature’s president. The Bundesrat, or upper house of parliament, will vote on Friday.

The extraordinary authorisation is part of a packet of legislation aimed at protecting German jobs and businesses. The new borrowing of €156 billion (US$169 billion) is equivalent to half of the country’s normal annual spending.

“There is no blueprint for countering such a crisis,” Finance Minister Olaf Scholz said in the Bundestag in Berlin, filling in for Merkel who is at home in precautionary quarantine. “We’re doing that with an enormous amount of money, as precisely as possible.”

The package comes as the economy braces for its biggest slump in decades. Business confidence is collapsing at a record pace amid restrictions to slow the spread of the disease, and the Ifo economic institute predicted mass bankruptcies in what may be a deeper slump than during the financial crisis.

Germany’s ruling coalition of Merkel’s conservative bloc and the Social Democrats cast aside infighting to push for emergency powers, abandoning its long-standing balanced-budget policy in the process.

Backed by broad political support, the government plans to unleash a barrage of debt-financed measures totalling more than 750 billion euros to counter what Merkel called the biggest challenge to Germany since World War II. The package includes loans, guarantees and aid for large and small companies as well as money to buy stakes and even completely nationalise some stricken businesses.

The country, which tightened lockdown measures this week, has about 32,700 cases and more than 150 deaths, according to data compiled by Bloomberg.
Newsletter

Related Articles

Beautiful Virgin Islands
0:00
0:00
Close
China Accuses US of Violating Trade Truce
Panama Port Owner Balances US-China Pressures
France Implements Nationwide Outdoor Smoking Ban to Protect Children
German Chancellor Merz Keeps Putin Guessing on Missile Strategy
Mandelson Criticizes UK's 'Fetish' for Abandoning EU Regulations
British Fishing Boat Owner Fined €30,000 by French Authorities
Dutch government falls as far-right leader Wilders quits coalition
Harvard Urges US to Unfreeze Funds for Public Health Research
Businessman Mauled by Lion at Luxury Namibian Lodge
Researchers Consider New Destinations Beyond the U.S.
53-Year-Old Doctor Claims Biological Age of 23
Trump Struggles to Secure Trade Deals With China and Europe
Russia to Return 6,000 Corpses Under Ukraine Prisoner Swap Deal
Microsoft Lays Off Hundreds More Amid Restructuring
Harvey Weinstein’s Publicist Embraces Notoriety
Macron and Meloni Seek Unity Despite Tensions
Trump Administration Accused of Obstructing Deportation Cases
Newark Mayor Sues Over Arrest at Immigration Facility
Center-Left Candidate Projected to Win South Korean Presidency
Trump’s Tariffs Predicted to Stall Global Economic Growth
South Korea’s President-Elect Expected to Take Softer Line on Trump and North Korea
Trump’s China Strategy Remains a Geopolitical Puzzle
Ukraine Executes Long-Range Drone Strikes on Russian Airbases
Conservative Karol Nawrocki wins Poland’s presidential election
Study Identifies Potential Radicalization Risk Among Over One Million Muslims in Germany
Good news: Annalena Baerbock Elected President of the UN General Assembly
Apple Appeals EU Law Over User Data Sharing Requirements
South Africa: "First Black Bank" Collapses after Being Looted by Owners
Poland will now withdraw from the EU migration pact after pro-Trump nationalist wins Election
"That's Disgusting, Don’t Say It Again": The Trump Joke That Made the President Boil
Trump Cancels NASA Nominee Over Democratic Donations
Paris Saint-Germain's Greatest Triumph Is Football’s Lowest Point
OnlyFans for Sale: From Lockdown Lifeline to Eight-Billion-Dollar Empire
Mayor’s Security Officer Implicated | Shocking New Details Emerge in NYC Kidnapping Case
Hegseth Warns of Potential Chinese Military Action Against Taiwan
OPEC+ Agrees to Increase Oil Output for Third Consecutive Month
Jamie Dimon Warns U.S. Bond Market Faces Pressure from Rising Debt
Turkey Detains Istanbul Officials Amid Anti-Corruption Crackdown
Taylor Swift Gains Ownership of Her First Six Albums
Bangkok Ranked World's Top City for Remote Work in 2025
Satirical Sketch Sparks Political Spouse Feud in South Korea
Indonesia Quarry Collapse Leaves Multiple Dead and Missing
South Korean Election Video Pulled Amid Misogyny Outcry
Asian Economies Shift Away from US Dollar Amid Trade Tensions
Netflix Investigates Allegations of On-Set Mistreatment in K-Drama Production
US Defence Chief Reaffirms Strong Ties with Singapore Amid Regional Tensions
Vietnam Faces Strategic Dilemma Over China's Mekong River Projects
Malaysia's First AI Preacher Sparks Debate on Islamic Principles
White House Press Secretary Criticizes Harvard Funding, Advocates for Vocational Training
France to Implement Nationwide Smoking Ban in Outdoor Spaces Frequented by Children
×