Skip to content
Search

Latest Stories

What We're Watching

Germany’s governing coalition crumbles over budget battle

German Chancellor Olaf Scholz leaves the Bellevue Palace, after he sacked Christian Lindner.

German Chancellor Olaf Scholz leaves the Bellevue Palace, after he sacked Christian Lindner.

REUTERS/Liesa Johannssen
Make us preferred on Google

Germany’s governing coalition collapsed on Thursday after Chancellor Olaf Scholz fired Finance Minister Christian Lindner, head of the pro-business Free Democrats and a linchpin in his majority, likely spurring a vote of confidence.

Germany is struggling in the aftermath of Russia’s invasion of Ukraine, which has sent energy prices skyrocketing, upped defense spending, and brought in 1.5 million Ukrainian refugees. Lindner wanted to spur the economy through tax cuts paid for by slashing social programs and climate change targets, while Scholz pushed for loosening the spending limit.


Scholz’s “traffic-light coalition” has governed Germany since 2021, but internal tensions have been rising for weeks over the 2025 budget amid a second consecutive year of no economic growth. Now, without a majority, his coalition must rely on individual votes from other parties to pass laws until an election is held.

“The big question about this vote of confidence is not the result but the timing,” explains Eurasia Group’s Europe director, Jan Techau, who says the opposition party will try to pressure the vote to happen as soon as possible, though Scholz will try to hold off until at least January.

“It is clear that Scholz will lose the vote. The entire purpose of the vote is to lose it, thereby clearing the way for elections,” says Techau. How Scholz will fare in elections is unclear but will hinge on issues of migration, pensions, cost of living, and the war in Ukraine.

More For You

People chant slogans as they walk during a protest and shutter-down strike called by the banned Joint Awami Action Committee (JAAC), an alliance of civil society groups, in Neelum Valley, Pakistani Kashmir.

People chant slogans as they walk during a protest and shutter-down strike called by the banned Joint Awami Action Committee (JAAC), an alliance of civil society groups, in Neelum Valley, Pakistani Kashmir, June 21, 2026.

REUTERS/Naseer ud Din
Contested elections in Pakistan-administered KashmirRegional parliamentary elections began in the Pakistan-administered portion of Kashmir on Monday, but the first round of voting has been racked with violence. It's the latest flare-up in what’s been weeks of clashes in the region between police and protesters, who are organized by the Joint Awami [...]
Ozgur Ozel speaks to the media after submitting an application to establish the so-called New Party, in Ankara, Turkey.

Turkish opposition leader Ozgur Ozel speaks to the media after submitting an application to establish the so-called New Party, in Ankara, Turkey, July 24, 2026.

REUTERS/Efekan Akyuz
“New Party” shakes up opposition in TurkeyTurkish opposition leader Özgür Özel launched a new political party on Friday to challenge President Recep Tayyip Erdoğan’s party, the AKP. Özel was previously ousted by a Turkish court as chairman of the CHP in a move critics saw as an attempt to weaken opposition. More than 90 former CHP lawmakers joined [...]
​U.S. and Saudi flags flutter along a highway of Riyadh

U.S. and Saudi flags flutter along a highway of Riyadh, as pictured through the glass of a car, ahead of the arrival of U.S. President Donald Trump to Riyadh, Saudi Arabia May 12, 2025.

REUTERS/Hamad I Mohammed/File Photo
Trump adds Israel caveat to Saudi nuclear dealThe US president on Thursday said that the US-Saudi nuclear deal struck this week would be contingent on the Kingdom joining the Abraham Accords, a Trump-brokered 2020 pact that normalized ties between Israel and several powerful Arab countries. Saudi Arabia has in the past said it would only do that [...]
U.S. President Donald Trump and Saudi Crown Prince and Prime Minister Mohammed bin Salman stand in front of flags at the White House.

U.S. President Donald Trump and Saudi Crown Prince and Prime Minister Mohammed bin Salman pose for picture at the White House in Washington, D.C., U.S., November 18, 2025.

REUTERS/Jessica Koscielniak
US to help Saudi Arabia go nuclearDonald Trump has reportedly struck a deal to help the oil-rich Kingdom develop a civilian nuclear power industry. The deal could be worth billions of dollars for the US nuclear industry, but has raised fears of a nuclear arms race in the Middle East. That’s because the pact reportedly creates a pathway for Saudi [...]