German Chancellor fires finance minister amid economic disputes

theglobeandmail.com

German Chancellor Olaf Scholz has fired Finance Minister Christian Lindner, marking a significant shift in the ruling coalition. This decision follows ongoing disputes over economic strategies, with Scholz seeking a vote of confidence in January that could lead to early elections. Lindner's pro-business Free Democrats opposed tax increases and welfare cuts, while Scholz's Social Democrats and the Greens pushed for increased state investment. Scholz cited a breakdown of trust and Lindner's unilateral budget changes as reasons for the dismissal. Germany's economy is projected to face further challenges, with potential stagnation in 2024. Scholz plans to engage with opposition leader Friedrich Merz to discuss strengthening the economy and defense ahead of the January vote.


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