Germany is undergoing a profound political and economic shift that could redefine its role in Europe and beyond. With Friedrich Merz expected to become the next chancellor, the country has taken decisive steps toward reasserting itself as a central power in European security and infrastructure development. The sweeping financial package announced recently marks a significant departure from Germany’s traditionally cautious fiscal policies, particularly the strict debt restrictions that have shaped public spending since the global financial crisis. At the heart of this shift is a recognition that Europe can no longer rely on external powers for its security and stability.

The perception that the United States, under its current leadership, is retreating from its traditional role as Europe’s guarantor has triggered a sense of urgency in Berlin. Germany’s decision to substantially boost defence spending is not just a domestic policy choice; it is a strategic signal to allies........

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