Olaf Scholz’s coalition government breaks down and heads for early elections

Olaf Scholz’s coalition government breaks down and heads for early elections

BerlinCrisis of government in Germany. The German chancellor, Olaf Scholz, dismissed this Wednesday his finance minister, the liberal Christian Lindner, due to irreconcilable differences in economic matters, and caused the breakup of the so-called traffic light coalition, formed by social democrats, liberals and greens, three years after coming to power.

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Scholz, chancellor since December 2021, announced in a short call to the press that on January 15 he will ask for a vote of confidence in the Bundestag, the lower house of the German Parliament. In case of losing it, early elections could be held in Germany at the end of March, as explained by the Social Democratic chancellor. The elections were scheduled for September 2025, but the electoral date could be advanced six months.

The dismissal of Lindner, hours after the election of the Republican Donald Trump as president of the United States and on the eve of a European Council, was the result of a meeting of the summits of the formations that formed the German tripartite for try to stop a government crisis that had been dragging on for some time. The reason: internal squabbling over the 2024 budgets and how to relaunch the German economy, which is in its second year of recession.

Crisis of confidence

During the tripartite meeting, Lindner demanded the chancellor call new elections in January, which both Scholz and the Greens, the other coalition partner, rejected. Looking serious, Scholz blamed Lindner for the coalition crisis. “He has betrayed my trust too often. Under these conditions a serious job of government is not possible,” the chancellor said.

“We need a government that is able to act and that has the strength to make the necessary decisions for our country. This is what has worried me for the last three years. This is my concern now,” added Scholz, who accused Lindner of torpedoing the work of the German tripartite in the last three years. The Social Democrat reported the impeachment of German President Frank-Walter Steinmeier.

Lindner, for his part, accused the chancellor of carrying out a calculated break-up of the coalition, which, according to him, “is taking Germany into a phase of uncertainty”. “Unfortunately, Olaf Scholz has shown that he does not have the strength to achieve a new dawn for our country. Instead, he has demanded that I suspend the debt brake in the fundamental law. I cannot access it because I would have violated my oath of office,” Lindner told the press.

The until now German Finance Minister, Christian Lindner.

After his dismissal, the Liberal Party (FDP, in its German acronym) announced that all its ministers will submit their resignations to the federal president, and the traffic light coalition will thus be considered buried for good.

“Germany needs new elections”

The conservatives, for their part, demanded the calling of early elections as soon as possible. “The traffic light coalition is history. No more time can be wasted. Germany needs new elections, a new government quickly. There must be no tactical delays. The vote of confidence must be considered immediately and not next year ve. The new elections could be held even in January,” Bavarian Minister President Markus Söder (CSU) demanded.

Lindner had this week demanded “a change of course” in the German government’s economic policy with massive spending cuts and tax cuts. The leaking to the press of a strategic document by the minister – entitled “Concept for growth and generational justice” – was not well received by the other partners of the coalition.

“No one can accept that Germany is left behind economically. That’s why I’m doing everything possible so that we stop being an obstacle for ourselves. Because the citizens want to feel proud of the country again. A change of course is needed,” he said. demand Lindner on Monday after a meeting with Scholz to try to resolve their differences, which ultimately has not been possible.

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