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Union and SPD lower expectations for coalition committee discussion as disagreements persist over key policy changes.
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Germany's governing coalition is bracing for difficult negotiations at a key coalition committee meeting as Union and SPD struggle to align on reform priorities.
Vice Chancellor Klingbeil said the parties aim to at least produce a roadmap for pending reforms, but expectations remain muted. The two partners disagree substantially on the substance and scope of changes needed across multiple policy areas.
The meeting comes amid mounting pressure to demonstrate progress on economic competitiveness and fiscal policy as Germany faces economic headwinds.
Germany's governing coalition is preparing for tense negotiations at a key committee meeting, with Union and SPD lowering expectations and settling for a roadmap rather than concrete reforms. Deep disagreements persist on the scope and substance of policy changes needed across multiple areas.
Germany's economic struggles and fiscal pressures mean delayed reform progress could affect eurozone stability, investment confidence, and potentially interest rates or currency movements that impact global markets and cross-border business. If the coalition can't deliver on competitiveness reforms, expect continued uncertainty around German economic policy direction.