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Chancellor Merz Calls for Urgent Economic Recovery in Germany

1/7/2026

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Summary

Story summary

German Chancellor Friedrich Merz prioritizes Germany's economic recovery for 2026, describing the situation as "very critical" in a letter to his coalition.
He calls for decisive action to improve business conditions and restore competitiveness.
Merz reaffirms Germany's support for Ukraine and urges a sovereignty-preserving ceasefire.
The Social Democratic Party of Germany (SPD) faces tensions over planned reforms amid Alternative for Germany (AfD) pressure and Brandenburg's coalition collapse.

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Story summary

German Chancellor Friedrich Merz prioritizes Germany's economic recovery for 2026, describing the situation as "very critical" in a letter to his coalition.
He calls for decisive action to improve business conditions and restore competitiveness.
Merz reaffirms Germany's support for Ukraine and urges a sovereignty-preserving ceasefire.
The Social Democratic Party of Germany (SPD) faces tensions over planned reforms amid Alternative for Germany (AfD) pressure and Brandenburg's coalition collapse.