Germany's Merz insists on budget cuts in coalition talks

Friedrich Merz, the likely next chancellor of Germany, stated that cost-cutting must be part of coalition talks with the Social Democrats. This follows his support for a €500 billion financial package aimed at investments in defense and infrastructure. The package has gained approval from the Bundestag's Budget Committee and includes a relaxation of Germany's debt limits. However, some Bundestag members plan to challenge the vote in the Federal Constitutional Court, citing insufficient time for discussion. Merz acknowledged that coalition negotiations will involve difficult discussions about necessary reforms and budget savings. He expressed hope for a new coalition government to be in place before Easter.