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Report: Pistorius must back down on defense budget

Before agreement in the budget dispute

Defense Minister Pistorius is to receive less for the Bundeswehr than desired. NATO's two percent...
Defense Minister Pistorius is to receive less for the Bundeswehr than desired. NATO's two percent target will nevertheless be met.

Report: Pistorius must back down on defense budget

The overall budget for 2025 is not yet on the table, but Defense Minister Pistorius could be in for a disappointment. Instead of the requested 6.5 billion euros extra, he will only receive 1.7 billion. The Union is upset about a booking trick intended to fill the gap.

According to information from the "Bild"-Newspaper, the defense budget of the Federal Ministry of Defense will increase significantly less than Minister Boris Pistorius had aimed for in the coming year. As the newspaper reported in the evening, the budget is expected to increase by only 1.17 billion euros. However, Pistorius had demanded an increase of at least 6.5 billion euros.

Chancellor Olaf Scholz, Finance Minister Christian Lindner of the FDP, and Economics Minister Robert Habeck of the Greens agreed on this increase in their talks in the afternoon, the newspaper further reported. These should supplement the already planned 52 billion euros from the Federal Finance Ministry.

According to "Bild", Germany will still meet the two-percent NATO target in the coming year despite the smaller increase in defense spending. This will be secured through the constitutionally anchored special fund for the Bundeswehr in the amount of 100 billion euros.

Equipment worth 16 billion euros ordered - Invoice comes in 2028

Furthermore, the "Bild" reported that part of the procurement of weapons and ammunition will be financed with funds that are not yet provided for in the federal government's financial planning. The Federal Ministry of Defense has already ordered military equipment this year, for which 10.8 billion euros will only fall due in 2028. By the end of the year, further contracts could therefore be signed, which would add another 6 billion euros.

CDU budget politician Ingo Gädechens criticized this approach in a conversation with the paper. Pistorius should "only work with uncashed checks" and "pass on all problems to the next government", Gädechens is reported to have said, adding: "That's irresponsible politics!"

A final agreement on the entire federal budget for 2025 is expected to be reached between Chancellor Scholz and his deputies Habeck and Lindner by Friday. According to negotiations that may last into the night, Scholz is expected to appear at a meeting of the SPD fraction early on Friday morning (7 am). This was called by faction leader Rolf Mützenich, so that the Chancellor can inform the deputies before the parliamentary summer break about the results of the budget negotiations.

  1. The debate surrounding German defense policy and its budget allocation has been a topic of politics, with Defense Minister Boris Pistorius aiming for a significant increase in defense spending.
  2. Despite meeting NATO's two percent target through the debt brake and the special fund for the Bundeswehr, the German budget policy has been criticized for financing part of the military equipment procurement with funds not yet accounted for in the budget.
  3. Boris Pistorius' budget policy for German defense has been criticized by CDU budget politician Ingo Gädechens for relying on uncashed checks and passing on problems to future governments, deeming it irresponsible politics.

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