No more Stoßluften!
Merz spent the spring trying to give Germany's economy a breath of fresh air. Now his coalition must survive a politically explosive autumn.
Dear Reader,
The window is now shut.
Friedrich Merz’s government spoke at the beginning of the year about a Reformfenster – a window of opportunity that would allow the government to pass its long-heralded economic reforms — that would close this week.
Why was the timeline so tight? Because the Bundestag went into recess on Friday, meaning that no new laws can be passed until the second week of September. By that stage, events may already have overtaken the federal government.
On Sunday, September 6th — the day before Bundestag MPs return from their holidays — state elections will be held in Saxony-Anhalt. The result of that election could make further compromise difficult, if not impossible.
If current polling is to be believed, the AfD is on course for a comprehensive victory. The populists are expected to win 40 per cent or more. The CDU, which has governed the eastern state since 2002, is lagging well behind on just 23 per cent. That is nothing compare…