The Fort Worth Press - Merz supports easing EU fiscal rules to boost defence spending

USD -
AED 3.672501
AFN 65.000167
ALL 81.974632
AMD 362.194494
ANG 1.78986
AOA 918.000043
ARS 1516.747503
AUD 1.437004
AWG 1.8
AZN 1.707273
BAM 1.75258
BBD 2.017823
BDT 123.329346
BGN 1.750039
BHD 0.378148
BIF 2997.58505
BMD 1
BND 1.283015
BOB 11.866753
BRL 4.987404
BSD 1.001833
BTN 95.896413
BWP 13.782814
BYN 3.021538
BYR 19600
BZD 2.014956
CAD 1.42672
CDF 2310.000519
CHF 0.833085
CLF 0.024821
CLP 976.869978
CNY 6.69215
CNH 6.696681
COP 3196.38
CRC 456.286712
CUC 1
CUP 24.044876
CVE 98.805977
CZK 21.813796
DJF 178.403251
DKK 6.688735
DOP 60.835241
DZD 134.612975
EGP 52.648598
ERN 15
ETB 163.645992
EUR 0.89481
FJD 2.251797
FKP 0.755381
GBP 0.75635
GEL 2.590059
GGP 0.755381
GHS 11.781626
GIP 0.755381
GMD 73.499053
GNF 8813.896493
GTQ 7.658774
GYD 209.502901
HKD 7.84768
HNL 26.89242
HRK 6.741303
HTG 131.195871
HUF 326.467501
IDR 17950
ILS 3.07312
IMP 0.755381
INR 95.50745
IQD 1518.761621
IRR 1779470.000313
ISK 121.859439
JEP 0.755381
JMD 159.656975
JOD 0.708999
JPY 158.268498
KES 129.73033
KGS 87.449788
KHR 4067.477653
KMF 440.000474
KPW 899.999867
KRW 1344.490114
KWD 0.31134
KYD 0.83489
KZT 451.335403
LAK 22526.894006
LBP 89717.148093
LKR 331.617314
LRD 170.8223
LSL 16.573966
LTL 2.95274
LVL 0.60489
LYD 6.437536
MAD 9.692869
MDL 17.943376
MGA 4518.999422
MKD 55.167316
MMK 2100.025299
MNT 3596.153429
MOP 8.09821
MRU 40.27008
MUR 47.530274
MVR 15.449931
MWK 1737.256431
MXN 18.254599
MYR 4.086003
MZN 63.909424
NAD 16.573966
NGN 1329.440063
NIO 36.864955
NOK 9.568055
NPR 153.435816
NZD 1.78825
OMR 0.38451
PAB 1.001815
PEN 3.449512
PGK 4.477699
PHP 62.842497
PKR 277.391651
PLN 3.92519
PYG 5699.154536
QAR 3.662179
RON 4.774803
RSD 105.014517
RUB 83.926462
RWF 1477.210103
SAR 3.75667
SBD 8.078071
SCR 14.020427
SDG 601.509337
SEK 10.02325
SGD 1.280597
SHP 0.755572
SLE 24.670491
SLL 20969.500838
SOS 572.603734
SRD 37.666975
STD 20697.981008
STN 21.953897
SVC 8.766325
SYP 13001.999922
SZL 16.568768
THB 33.595501
TJS 9.232182
TMT 3.51
TND 2.996931
TOP 2.40776
TRY 49.3681
TTD 6.812999
TWD 32.094997
TZS 2640.003012
UAH 45.09922
UGX 4138.085531
UYU 40.296963
UZS 11922.310088
VES 875.701596
VND 25914
VUV 119.754657
WST 2.785507
XAF 586.956854
XAG 0.016606
XAU 0.000239220428
XCD 2.70255
XCG 1.805596
XDR 0.707052
XOF 586.956854
XPF 106.866193
YER 236.196211
ZAR 16.539102
ZMK 9001.195554
ZMW 19.887003
ZWL 321.999592
SSP 5757.531856
MXV 2.061614
  • RIO

    -0.3300

    97.04

    -0.34%

  • CMSC

    -0.0400

    20.67

    -0.19%

  • RELX

    0.0000

    33.41

    0%

  • RBGPF

    0.0000

    67.95

    0%

  • BCE

    -0.0700

    21.99

    -0.32%

  • BCC

    -0.0300

    75.66

    -0.04%

  • GSK

    0.8600

    51.08

    +1.68%

  • JRI

    -0.0300

    11.52

    -0.26%

  • NGG

    -0.1200

    76.68

    -0.16%

  • CMSD

    0.0900

    20.54

    +0.44%

  • BTI

    -0.0800

    55.75

    -0.14%

  • AZN

    2.0200

    168.1

    +1.2%

  • BP

    -1.4200

    43.16

    -3.29%

  • RYCEF

    0.4600

    19.7

    +2.34%

  • VOD

    0.0700

    17.02

    +0.41%

Merz supports easing EU fiscal rules to boost defence spending
Merz supports easing EU fiscal rules to boost defence spending / Photo: © AFP

Merz supports easing EU fiscal rules to boost defence spending

Germany's new Chancellor Friedrich Merz on Wednesday said that Berlin supports relaxing strict EU fiscal rules to let member states ramp up defence spending as he sought to establish his European credentials on his first foreign visits.

Text size:

Less than a day after scrambling to get enough votes in parliament to secure his job, Merz visited France and Poland in a high profile start to his term when he will have the threat of the Ukraine war, transatlantic tensions and domestic worries over the far-right to tackle.

In Paris, Merz said that he and France's President Emmanuel Macron had "agreed a new start for Europe", though he gave few details.

The 69-year-old Christian Democrats head turned his attention to the European Union's military spending in Poland, a key ally of Ukraine in its war with Russia.

Speaking at a press conference with Polish Prime Minister Donald Tusk, Merz pointed to recent changes to Germany's constitutional debt rules to largely exempt defence spending.

"We could imagine something similar for the European fiscal pact or fiscal rules," he said.

- More bazookas -

The continent has been looking to rearm following Russia's invasion of Ukraine and US President Donald Trump's changing stance on European security.

In April, the European Commission said it would relax strict rules limiting public debt in order to allow states to spend up to 1.5 percent of national output on defence for four years.

EU members are bound by spending rules obliging them to keep the public deficit below three percent of economic output and debt at 60 percent of GDP.

But the EU can suspend the rules in exceptional circumstances and crises, as it did during the coronavirus pandemic when states had to prop up their embattled economies.

Sixteen countries, including Germany, have said they want to make use of the exemption.

Merz and his Social Democrat (SPD) coalition partners pushed the change to Germany's constitution through the parliament earlier this year, enabling a "bazooka" of borrowing to upgrade Germany's defence and infrastructure.

Merz also said it was important for the EU "to produce more" of its own military equipment and to harmonise weapons systems across member states.

"We must make sure the European members of NATO, and the whole European Union, are able to defend themselves on a long-term basis," he said.

Tusk in turn praised what he called a "new opening" for the countries' relations that could be "the most important in the history of German-Polish relations in more than 10 years."

Tusk said Europe's external frontiers had to be strengthened to defend internal travel. Merz's government, which has seen the far-right seize on fears over migration, controversially announced on Wednesday that border guards would be told to push back most asylum seekers.

Tusk said it was "in the interest" of Germany and Poland to maintain "free passage" between their countries and that more attention should be "concentrated on the protection of the external borders" of the European Union.

In a new sign of EU leaders' desire to strengthen their standing, the French and Polish leaders will on Friday sign a new friendship alliance that will include security cooperation.

S.Jordan--TFWP