In his address during the general debate in the German Bundestag, Chancellor Olaf Scholz proposed a Germany Pact with the motto “Speed instead of standstill, action instead of waiting, cooperation instead of discord.” Additionally, the federal budget for 2024, following years of crisis, represents a fiscally sound state.
Over the past years, too many issues have been postponed, as stated by Chancellor Olaf Scholz during his speech in the general debate on the budget in the German Bundestag. “The citizens are tired of this stagnation. And so am I.”
Tackling Challenges Together To overcome these challenges, a “national effort” is needed. Therefore, Chancellor Scholz extended an invitation during his speech to all forces in the federal government, states, and municipalities to join a Germany Pact aimed at making the country faster, more modern, and safer. The political leaders are urged to pool their strengths and work together. “Today, we lay the foundation for the prosperity and stability of our country in ten, twenty, thirty years,” Scholz emphasized.
The Germany Pact addresses the areas where citizens expect progress most urgently:
- Energy supply that is clean, secure, and affordable.
- The construction of new homes and houses.
- The modernization and digitization of infrastructure.
- Enhancing competitiveness of businesses.
- Establishing a fast, efficient, digital administration.
For more information on the Germany Pact, please visit the official website.
Billions in Investments The Chancellor pointed out that nobody can be content if Germany’s economy doesn’t grow. “But we will only solve structural problems with structural responses,” he stated. The goal is to speed up construction and planning. €54 billion are allocated for improving railways, building new bridges, providing fast internet, installing charging stations, supporting social housing, and achieving a carbon-neutral economy. The Climate and Transformation Fund has €58 billion for the hydrogen industry, semiconductor manufacturing, clean energy, climate-friendly mobility, digital infrastructure, and building renovations. In total, more than €110 billion for climate protection and economic modernization.
“More than €80 billion are being invested by international companies in Germany. In future-oriented sectors such as biotechnology, battery production, clean tech, carbon-neutral steel, and artificial intelligence, Germany is becoming the European semiconductor hub. Our prosperity is closely linked to the European Union. Demands for new barriers between member states, for dismantling the European Union, and for radical cuts to the welfare state are nothing but reckless destruction of prosperity,” the Chancellor cautioned.
The economy cannot thrive without foreign labor. The Skilled Immigration Act must be vigorously implemented. Visa issuance needs to speed up. Simultaneously, the fight against irregular migration remains important, and repatriations should be accelerated.
Solid Finances By compensating for bracket creep, 48 million taxpayers now have more net income from their gross earnings. Higher child benefits mean over €700 more per year for a family with two children, and childcare allowances can reach up to €500. In addition, pensions have been raised to the highest level in decades as of July 1. Over 30 years after reunification, East and West pensions are finally equalized.
Germany has weathered the pandemic, responded resolutely to the Russian attack on Ukraine, and has become independent of Russian energy within months. “We are making progress in the task of positioning our country so that our best days are not behind us but ahead of us,” Scholz affirmed. Social cohesion is the crucial prerequisite for ensuring that everyone can come along on the journey into the future of our country. “After three extraordinary years of crisis, the federal budget for 2024 represents a return to normality and a fiscally sound state,” concluded Chancellor Scholz.
https://www.bundesregierung.de/breg-de/aktuelles/kanzler-deutschland-pakt-2221412