Germany's governing coalition collapses after finance minister's dismissal
Germany's governing coalition has collapsed after Chancellor Olaf Scholz dismissed Finance Minister Christian Lindner. This led Lindner's Free Democrats Party to withdraw from the coalition, leaving Scholz with a minority government alongside the Green Party. Scholz plans to hold a confidence vote on January 15. If he loses, elections could be held by March 2025, six months earlier than scheduled. The coalition's collapse follows months of disagreements over economic policy amid a struggling economy. Germany's economy has faced stagnation, with growth at just 0.2% over the past five years. The government now faces challenges in passing legislation without the FDP's support, and the political crisis may increase support for far-right parties.