Germany’s coalition in crisis after Scholz fires finance minister
Scholz said that he had lost trust in Finance Minister Lindner
The move leaves Scholz’s government without a parliamentary majority
Confidence vote expected in January, which could lead to early elections

Germany’s coalition in crisis after Scholz fires finance minister

Germany’s governing coalition is on the brink of collapse after Chancellor Olaf Scholz fired Finance Minister Christian Lindner, triggering a political crisis. Scholz, leader of the Social Democrats (SPD), announced that he had lost trust in Lindner, who heads the Free Democratic Party (FDP) and is part of the coalition. The move leaves Scholz’s government without a parliamentary majority and sets the stage for a confidence vote in January, which could lead to early elections.

The so-called “traffic light” coalition, consisting of the SPD, the Greens, and the FDP, has been in power since 2021. However, tensions within the coalition have been growing for weeks, particularly over economic policy. Scholz accused Lindner of putting his party’s interests ahead of the country’s needs, while Lindner criticized Scholz for leading Germany into a period of uncertainty.

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The crisis comes amid growing challenges for Germany, Europe’s largest economy. Rising energy costs, defence spending demands, and the ongoing costs of accommodating 1.5 million Ukrainian refugees have strained the country’s finances. While Scholz and the Greens advocate for more spending to address these issues, Lindner has pushed for tax cuts funded by cuts to welfare and social programs.

Scholz has called for a confidence vote in the Bundestag on January 15. If the government loses the vote, Germany could face early elections, potentially as soon as March.