BERLIN (AP) — German Chancellor Olaf Scholz said Saturday he is confident that his troubled government will find a good solution to a budget crisis triggered by a court ruling last month, and promised his center-left party there will be no dismantling of the country’s welfare state.
Leaders of Scholz’s three-party coalition have been wrangling over money since Germany’s highest court annulled a decision to repurpose 60 billion euros ($65 billion) originally meant to cushion the fallout from the COVID-19 pandemic for measures to help combat climate change and modernize the country.
The immediate challenge is to plug a 17 billion-euro hole in next year’s budget. Scholz, Vice Chancellor Robert Habeck and Finance Minister Christian Lindner have met repeatedly to seek to resolve the impasse, but have run out of time to get the budget through parliament before the new year starts.
The issue has added to tensions in the 2-year-old coalition, which has become notorious for infighting and has seen its poll ratings slump. The alliance brings together Scholz’s Social Democrats and Habeck’s environmentalist Greens, who also…
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