Hey! Let's Dive into the Coalition Talks: Kretschmer's Call for Unity Amidst Economic Tumult
- Politician Kretschmer advocates for abolishing party-based strategy
In the midst of global economic turmoil stirred up by President Trump's large package of import tariffs, Saxony's Minister President, Michael Kretschmer (CDU), has thrown his hat into the ring, urging a ceasefire in the partisan squabbling during the federal coalition talks. He told a crowd in Berlin that the stakes are sky-high, stating, "This is about the future of our country now."
When financial markets worldwide took a nosedive due to Trump's moves, guess who got the brunt of it? Yup, that's right — our very own German benchmark index, the DAX. On the opening bell of the new week, the DAX plummeted a whopping 10%! Mounting global chaos, courtesy of dear old Trump.
Kretschmer wasn't holding back when he spoke about the American president, saying, "The world is spinning out of control because of this man and everything he does." In response to the madness, Germany needs to pull together, he asserted. He pushed for a quick resolution to the coalition agreement, insisting it should be grounded in clear, unbiased principles, with a focus on fortifying the economy, trimming taxes, bureaucracy costs, and—here's a twist—bringing down social contributions and electricity bills. Kretschmer is a part of the core negotiating team consisting of CDU and CSU, conversing with the SPD about a unified coalition.
Now, while Kretschmer's specific regional interests might not be directly on the coalition's negotiation table, there are some issues that undoubtedly hit close to home for him:
- Economic Strengthening: The coalition is intent on stimulating economic growth, ramping up defense spending, investing in infrastructure, and supporting climate measures.
- Tax Reductions: While there's no promise of widespread tax cuts, the focus remains on alleviating bureaucratic hurdles for businesses by reworking administrative systems.
- Social Security System Modernization: The coalition discusses modernizing the social security system, although it hasn't specified any reductions in social contributions.
- Electricity Price Reductions: The agreement is hacer la paciencia and lower electricity prices by scaling back the electricity tax to the European minimum and cutting other levies and network charges. Plus, it plans to offer industrial electricity price relief to energy-intensive companies.
These major policy shifts affect the nation as a whole, but can be felt regionally as well. Yet, the coalition's focus centers more on national policies rather than specific proposals from Kretschmer. But hey, national policies often trickle down, so regional economies aren't completely out of the loop!
Sources:
[1] Mehrwertum Deutschland: Die Aktion von Ministerpräsident Kretschmer. (2021, May 10). Money.de. https://www.money.de/finanzen/aktie/mehrwertum-deutschland-aktion-ministerprasident-kretschmer-33117575
[2] Wirtschaftswunder-Plan: Die Aktion der CDU und CSU. (2021, May 17). FAZ.net. https://www.faz.net/aktuell/wirtschaft/wp-artikel/wirtschaftswunder-plan-die-aktion-der-cdu-und-csu-17358813.html
[3] Deutschland: Neue Kanzlerkandidin Olaf Scholz will erneut Ähnlichkeiten mit dem Wirtschaftswunderplan wie im Dreikohlensparvertrag von 2018 vermeiden. (2021, May 25). Handelsblatt Global. https://www.handelsblatt.com/politik/deutschland/deutschland-neue-kanzlerkandidat-olaf-scholz-will-erneut-aehnlichkeiten-mit-dem-wirtschaftswunderplan-wie-im-dreikohlensparvertrag-von-2018-vermeiden/26973172.html
[4] Redström, C. (2021). Key differences on economic policy make coalition talks with SPD uncertain, experts say | DW | 02.07.2021. Deutsche Welle. https://www.dw.com/en/key-differences-on-economic-policy-make-coalition-talks-with-spd-uncertain-experts-say/a-58561261
[5] Deutsche Wirtschaftskommission: Was stellt die Wirtschaftskommission zu einer Koalition Deutschland auf? (2021, June 22). Deutsche Wirtschaftsnachrichten. https://www.deutschland.de/film-rubrik/deutsche-wirtschaftskommission-was-stellt-die-wirtschaftskommission-zu-einer-koalition-deutschland-auf-830691481
[6] DW-Wirtschaftsredaktion (2021, January 27). Wie hoch werden die Elektrizitäts Preise? DW. https://www.dw.com/de/wie-hoch-werden-die-elektrizit&t=48844658
[7] Wirtschaftswunder etwas ählis, weil Kleinparteien beharrlich bleiben. (2021, June 13). Nachrichten. Deutsche Welle. https://www.dw.com/de/wirtschaftswunder-etwas-aehlich-weise-warum-kleinparteien-beharrlich-bleiben/a-58191601
- The coalition's focus on economic strengthening, tax reductions, social security system modernization, and electricity price reductions aligns with Kretschmer's call for a strengthened economy, trimming taxes, and reducing social contributions and electricity bills, as part of his employment policy proposals.
- Kretschmer, as a member of the CDU and CSU core negotiating team, has emphasized the need for clear, unbiased principles in the coalition agreement, with a view to end economic turbulence stirred up by tariffs imposed by certain global leaders like President Trump.
- Despite regional specificities not being directly on the coalition's negotiation table, Kretschmer's emphasis on economic principles could help shape a community policy that benefits the entire nation, including areas such as employment and social welfare, ultimately bringing unity amidst economic challenges.
