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Parliamentary session in the German Bundestag this week

Continuation of temporary wage support schemes amidst the Corona pandemic, particularly pertinent for the event sector

Weekly updates from the German Federal Parliament (Bundestag)
Weekly updates from the German Federal Parliament (Bundestag)

Parliamentary session in the German Bundestag this week

Germany is pushing forward with digitization efforts, particularly in the medium-sized sector, recognizing its strategic importance for future growth options of companies. The Parliamentary Advisory Council for Sustainable Development (PBnE), consisting of 20 members, will regularly inform the Bundestag about its work.

On the international front, Germany continues to support the United Nations Mission in the Republic of South Sudan (UNMISS), playing a key role in protecting the civilian population, ensuring lasting peace, and paving the way for elections in 2023.

In response to the ongoing pandemic, the government has extended special regulations for easier access to short-time work allowance until 30 June 2022. However, the current status or extensions of the short-time work allowance beyond this date remains unclear.

The events industry, still heavily affected by measures to contain the coronavirus, continues to receive support. The focus of the government will be on containing the effects of the Corona pandemic and climate change on the countries of the Global South, and increasing focus on states in Latin America and Asia.

The draft bill for the special fund for 2022 from the European Recovery Program (ERP-Economic Program Act 2022) is under consideration by the Bundestag. The bill provides low-interest loans and equity capital with a total volume of approximately 9.8 billion euros for small and medium-sized enterprises in the commercial sector and members of the liberal professions in 2022.

In terms of social support, a one-time heating cost subsidy for approximately 2.1 million eligible individuals has been proposed by the factions of the SPD, Alliance 90/The Greens, and the FDP. Recipients of housing benefit will receive the one-time payment in a graduated manner based on household size, while recipients of BAföG and Aufstiegs-BAföG will receive the subsidy upon application.

The budget of the Federal Ministry for Economic Cooperation and Development (BMZ) has more than doubled since 2013, from 6.3 to the current 13.4 billion euros. The focus of the act is the financing of projects in the areas of innovation and digitization, with a funding amount of 1.5 billion euros alone for digitization.

The maximum duration of receipt of short-time work allowance has been increased to up to 28 months. The minimum requirements for granting and the increased rates of short-time work allowance continue to apply, with 70% or 77% from the fourth month if children live in the household, and 80% or 87% from the seventh month.

On the security front, NATO countries decided on the maritime security operation "SEA GUARDIAN" in 2016 to secure maritime traffic in the Mediterranean and combat maritime terrorism and related illegal activities such as arms smuggling and human trafficking. The government proposal aims to extend the SEA GUARDIAN mandate until 31 March 2023. The upper limit for German Armed Forces soldiers to be deployed has been reduced from 650 to 550, covering the Mediterranean Sea outside the coastal waters.

Lastly, the regulations in the Care Time Act and Family Care Time Act will continue to apply beyond 31 March 2022. More information about the current status or extensions of the short-time work allowance due to COVID-19 can be sought from the German Federal Ministry of Labour and Social Affairs or the Federal Employment Agency.

  1. Germany's focus will expand to include policy-and-legislation related to the commercial sector and liberal professions, as the draft bill for the special fund from the European Recovery Program (ERP-Economic Program Act 2022) aims to provide low-interest loans and equity capital for their digitization and innovation efforts.
  2. Beyond the general-news of the global pandemic, Germany's political landscape also encompasses matters such as climate change, particularly regarding countries in the Global South, with a focus on states in Latin America and Asia.

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