Germany’s centre-right bloc the Christian Democratic Union (CDU) and its Bavarian sister party the Christian Social Union (CSU) have voted unanimously in favor of an election program that promises to lower taxes and curb illegal migration. .
The CDU/CSU wants to reduce income taxes and gradually reduce taxes for companies to 25%. It promises not to cut old-age pensions and plans to encourage those who want to continue working beyond the retirement age of 67 by giving them €2,000 per month (€2,000 per month) in addition to their pension. Allows for tax-free earnings up to $2,100).
The problem: CDU chancellor candidate Friedrich Merz’s bold ideas would cost billions of euros, and would be extremely difficult to implement if the CDU/CSU refuse to ease the “debt brake.” Enshrined in Germany’s basic law, the brake limits fresh debt to a maximum of 0.35% of economic output (GDP).
Although he himself is not popular among voters, Merz’s party currently leads in opinion polls, and he has a good chance of becoming the next chancellor after a snap election on February 23.
Social Democrats: Increase investment, increase public debt
The Social Democrats (SPD) want to reform the debt brake to make billions of euros available for urgently needed investments, for example in deteriorating infrastructure. The party is also focusing on tax incentives for companies hoping to increase investment.
In line with its message to low-income voters, the SPD wants the super-rich with assets worth more than €100 million to pay wealth tax. This week in the Bundestag, Chancellor Olaf Scholz announced that he would raise the statutory minimum wage once again: “In the last election campaign, I promised a €12 minimum wage, and I have kept that promise. That’s why I’m running for office in the next “Fighting for a €15 minimum wage in the federal election.”
Greenery: not just climate protection
Over the last three years of government, the Greens have faced criticism over their climate protection plans. Now the party has reduced its demand for reducing greenhouse gases compared to the 2021 election campaign.
The Greens also want to reform the debt break, introduce subsidies for electric cars, and propose a new “citizens’ fund” to secure pensions. This fund should also be funded with state money. And they want a billionaire’s tax, as Chancellor and leading candidate Robert Habach said in an interview with the tabloid Picture,
According to experts’ estimates, there are currently 249 billionaires in Germany: “If you taxed a small part of their wealth, you would have about five to six billion euros,” Habach calculated. He said that this money can be invested in education.
FDP: A New Economic Policy
Like the Greens, the Free Democratic Party (FDP) is also demanding pension reform. Party leader Christian Lindner is campaigning for the introduction of share-based pensions. The main reason for the breakup of the coalition government with the SPD and the Greens in November was the FDP’s demand for a fundamentally different economic policy.
Many of those demands have now appeared in the party’s election programme: reducing the tax burden on companies with higher energy prices and less bureaucracy.
Left parties: focus on social justice
The socialist Left party wants to introduce higher taxes for the rich, including an inheritance tax of 60% for those with inheritances of €3 million or more.
The left-wing party wants to raise the minimum wage to €15 and pensions to 53% of recipients’ net income (currently 48%). It seeks to boost public transport by ensuring there is at least an hourly bus and train service to rural areas, and banning flights shorter than 500 kilometers or five hours by train.
AfD: soft on Russia, tough on immigrants
According to its draft election manifesto, the far-right Alternative for Germany (AfD) wants Germany to leave the EU and abolish the euro. It denies the existence of man-made climate change and advocates setting up new coal-fired power plants and nuclear power stations and resuming imports of Russian natural gas.
The AfD wants even stricter border controls that would push back refugees traveling through other EU countries to get to Germany. They even want to detain asylum seekers at the border while their applications are processed.
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The CDU/CSU is also in favor of sending refugees back to the border. CDU chancellor candidate Merz does not want to allow more people from Syria to come to Germany after the fall of Syrian ruler Bashar Assad. The SPD, FDP and Greens also agree on more consistent deportations of asylum seekers who have committed crimes.
Chancellor Olaf Scholz wants to address voters’ concerns about the war in Ukraine. His SPD has vowed to continue supporting Ukraine but does not want to supply long-range missiles that could reach targets in Russia. However, Merz has repeatedly spoken out in favor of it in recent months.
All parties will vote on their draft manifestos at special party conferences in the new year. This will be followed by a short and certainly heated campaign until the elections on February 23.
This article was originally written in German.
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