Overview

• The coalition agreement outlines the division of ministries, with the CDU leading key portfolios such as Economy, Foreign Affairs, and Digitalization, while the SPD takes Finance and Defense, and the CSU oversees Interior and Agriculture.
• Leaders describe the agreement as a pragmatic framework to ensure stable governance during global and domestic challenges, focusing on economic competitiveness and fiscal sustainability.
• Policy priorities include reforms in energy, streamlined infrastructure investments, and measures to reduce bureaucratic hurdles to enhance efficiency.
• Enhanced security measures, such as mandatory IP address storage, are introduced to combat terrorism, organized crime, and child abuse, alongside coordinated asylum policies with European neighbors.
• Several initiatives remain subject to internal approvals and budget reviews, with the coalition emphasizing the need to restore Germany’s fiscal health and international competitiveness.