Merz to set out plans for Germany in first Bundestag address as chancellor
Just over a week after suffering a bruising defeat at the hands of MPs, Merz is set to return to the Bundestag on Wednesday to give his first statement as Chancellor.
On Tuesday, May 6th, the CDU leader initially failed to secure the votes he needed to be confirmed in Germany's top job, sparking an afternoon of closed-door meetings and recriminations. Though Merz snuck through on the second vote, the initial failed vote - a first in German history - has placed him under even harsher scrutiny.
When he takes to the podium on Wednesday afternoon, the Chancellor will be hoping to answer some of these recriminations. Described by CDU General Secretary Carsten Linnemann as "one of the most important speeches this year", Merz will be setting out his plans for government, but also attempting to set the mood in the country.
In a 45-minute speech at 1pm, the Chancellor is likely to detail some of the key projects he wants to focus on ahead of the summer recess in July.
These include lowering energy prices to ease the burden on companies and new tax incentives to get pensions to stay in the work for even longer. When it comes to tax and bureaucracy, Merz has previously said that "far-reaching reforms are necessary."
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How Germany's new coalition will affect your bank balance
Also on the agenda in the coming weeks will be Defence Minister Boris Pistorius' plans to implement a voluntary military service scheme for the
Bundeswehr.
The SPD politician has been preparing the legislation behind closed doors and says it will be ready to be voted on this term.
Migration - a key issue in the CDU and CSU's election campaign - is also likely to get a mention. Immediately after taking office last week, Interior Minister Alexander Dobrindt (CSU)
ordered tougher checks at the borders and the rejection of all asylum seekers
, provoking consternation in neighbouring countries.
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Another major focus will be foreign policy, with Merz putting global tensions and geopolitical events centre stage. A day after his chaotic election as Chancellor, the CDU leader set off on trips to Warsaw and Paris, and has since visited Brussels and Kyiv.
"The world is in such disarray that a Federal Chancellor has to take care of foreign policy much more than in recent years and decades," he explained in recent days.
READ ALSO:
What's first on the new German government's to-do list ahead of summer?
This means that any mention of the budget is likely to be left to Finance Minister Lars Klingbeil, the co-leader of the SPD. According to
a recent report in
Handelsblatt
, the government is likely to collect tens of billions less in taxes over the coming years than previously expected, putting Klingbeil in a difficult bind.
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Steering away from the conservatives' Agenda 2030 election promises, a number of generous social policies were mentioned in the CDU/CSU and SPD's coalition pact - but these were all subject to financing.
Amid hefty tax cuts and a weak economy, the new Finance Minister will have to reconcile this financial black hole with some bold promises on government spending.
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