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Germany's increased defense spending offers no benefits to its people: analyst

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Germany's increased defense spending offers no benefits to its people: analyst

2025-03-22 20:10 Last Updated At:23:37

The contentious increase in defense spending within a mammoth spending package passed by the German parliament on Friday diverts funds from constructive projects and is more likely to benefit the U.S. than the German public, a German analyst warned.

The Bundesrat, the upper house of Germany's parliament, approved a multibillion-euro package backed by the CDU/CSU union and the Social Democratic Party on Friday.

The package will allow for the setup of a special fund of 500 billion euros (about 544 billion U.S. dollars) to finance infrastructure projects, climate and economic transformation efforts.

Additionally, the passage of the package lifts a "debt brake" measure, introduced in 2009, that has capped military spending at less than 1 percent of the national GDP.

However, such a massive increase in the country's military budget has sparked widespread controversy.

Bernd Einmeier, managing partner of ThinkTank Networks, argued that the increase in defense spending means that funds are not being directed toward constructive projects and will not promote European prosperity.

"What we are seeing now is the government channeling funds into destructive purposes and weapons. We all know that these weapon systems will certainly not promote European prosperity. We are not investing in constructive projects, but rather in things that will only bring destruction, death, and suffering," he said.

Einmeier further warned that the package would add to Germany's debt and financial burden.

While the CDU/CSU union and the Social Democratic Party claim it will boost the economy, he argues that the real beneficiaries may not be the German public, but rather the U.S.

"A large portion of the weapons procurement orders has flown to the U.S., which will undoubtedly stimulate the U.S. economic growth. But for us, it's of no help and will only deepen our dependence on the U.S. We are spending money that we don't even have, and this debt will ultimately be paid off by our next generation. I have a very critical attitude towards this. The interest burden will be extremely heavy, amounting to 50 billion euros annually," he said.

The spending package will come into effect once signed by German President Frank-Walter Steinmeier.

Germany's increased defense spending offers no benefits to its people: analyst

Germany's increased defense spending offers no benefits to its people: analyst

Iranian Foreign Minister Seyed Abbas Araghchi said on Monday that the situation in Iran is "under total control" following violence linked to protests that spiked over the weekend.

Addressing foreign diplomats in Tehran, the foreign minister noted that armed terrorist groups had infiltrated the protests, attempting to divert them from their legitimate course. He claimed that evidence has been gathered showing Iranian security forces being shot at, with the aim of causing further casualties. He accused the United States and Israel of exploiting the unrest to interfere in Iran's internal affairs.

Araghchi further stated that the government is closely monitoring developments on the streets, emphasizing that "the situation has come under control." He also affirmed that internet services, curtailed during the unrest, would be restored after coordination with security agencies.

The government has engaged in dialogue with merchants and protest representatives and initiated reforms to address grievances related to price hikes and currency depreciation. Iran has taken a series of actions and measures to respond to the demands of peaceful demonstrators, the foreign minister said.

Earlier on Sunday, Araghchi said that clear evidence links recent riots and vandalism of public facilities in Iran to the Israeli intelligence agency Mossad. This came after former U.S. Secretary of State Mike Pompeo mentioned Mossad agents operating on Iran's streets in a social media post. The Iranian foreign minister asserted that police are being attacked by "terrorists" acting under the direction of Israeli operatives, whom Pompeo publicly acknowledged.

The protests initially erupted over a sharp depreciation of the rial and sweeping subsidy reforms. Iranian authorities have blamed the unrest on foreign-linked agents and U.S. sanctions.

Iranian foreign minister says situation "fully under control," accuses Israeli intelligence of stoking unrest

Iranian foreign minister says situation "fully under control," accuses Israeli intelligence of stoking unrest

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