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Spanish Coalition Faces Renewed Tensions Over Defense Spending and Accountability

The PSOE-led government cancels a controversial ammunition contract, but political divisions persist as opposition calls for ministerial scrutiny and Podemos amplifies protests against a €10.5 billion defense plan.

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Overview

  • Prime Minister Pedro Sánchez unilaterally canceled a €6.6 million ammunition contract with an Israeli firm to address coalition disputes and avoid a potential rupture.
  • The Partido Popular (PP) is demanding Senate hearings and financial audits of ministers involved in the rescinded contract, intensifying scrutiny of the government.
  • Podemos has launched a campaign against the government’s €10.5 billion defense spending plan, calling for public resistance to what it describes as illegitimate military expenditures.
  • Izquierda Unida, a coalition partner, initially threatened to leave the government over the ammunition contract but has since advocated for maintaining the coalition while pushing for multilateral decision-making.
  • A reduced Council of Ministers met with the King at Zarzuela following the crisis, signaling temporary stability within the coalition despite ongoing political tensions.