GERMANY: A stimulus package for consumption, investment – and green policies

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After two days of talks, the grand coalition has agreed on a EUR 130bn stimulus package. EUR 120bn will come from the federal budget and 10bn from regional and local authorities. EUR 60bn are still left from the extra budget agreed earlier this year, thus somewhat limiting the amount of additional borrowing required in yet another special budget this year. The package demonstrates Berlin’s determination to tackle the crisis proactively, which had already been on display in the European debate. By focusing both on short-term consumption and longer-term investments, the package represents
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