Merz: Germany Is On The Verge Of A Turning Point

• 18.09.2025, 10:55

The Chancellor urged the Government to do the right thing.

German Chancellor Friedrich Merz said the country is at a dangerous turning point.

According to Bloomberg.

In a speech to the Bundestag, he emphasized that the government will make the "right choice" to protect freedom, economic prosperity and social cohesion in the country. In his speech, the politician outlined priorities for the ruling coalition, stressing the need for reforms to lift Germany out of stagnation.

According to Bloomberg, the chancellor faces increased pressure to deliver on promises to revive the long-stagnant economy, as well as overcome high energy prices and a complex bureaucracy.

The government is expected to significantly increase spending on the armed forces and modernize infrastructure by raising debt financing. In addition, a package of measures aimed at stimulating short-term economic growth is planned.

The publication also reminds that Merz's economic policy has implications not only for Germany, but for the whole of Europe. Global investors are closely watching whether Berlin will be able to implement the announced measures. Many financial managers have expressed concern about European markets lagging behind amid a surge in U.S. stocks linked to the development of artificial intelligence and China's better performance in emerging markets.

On August 24, Merz urged Berlin to seek new trading partners, going beyond the U.S.-EU agreement that imposes 15% duties on European goods.

The chancellor also said that the government should resolve basic issues on social security systems by the end of the year, stressing the need to ensure that the government's social security systems are in line with the European Union's commitment to the European Union. Germany's social systems must be adapted to future needs, he said.