Germany Needs More Debt to Meet NATO Goal, Scholz's Party Says.

Germany may need to relax its debt restrictions in order to meet NATO's defense spending target, according to Lars Klingbeil, co-leader of Chancellor Olaf Scholz's Social Democratic Party. Scholz has announced a special fund of €100 billion for the military, but it is unclear where the additional funds will come from due to restrictions on net new borrowing. Klingbeil argues that the debt rules need to be reformed to address the challenges of the 21st century, including security, a strong economy, and a strong welfare state. However, changing the rules would require a two-thirds majority in parliament, which is unlikely in the current political environment. [Extracted from the article]

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