Saxony Leader: Coalition's Economic Reforms Fall Far Short

Saxony's Minister-President Michael Kretschmer has voiced strong criticism of the coalition government's recent decisions, deeming them inadequate to address Germany's economic struggles. He told "Welt" that the measures are merely "first steps in the right direction" and that a substantial package to stimulate a real recovery is still missing.

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The decisions by black-red are far from sufficient to overcome Germany's economic weakness.

Kretschmer, a CDU politician, highlighted that while the coalition has passed legislation concerning statutory health insurance, building modernization, and tax relief for lower and middle incomes, these do not constitute a fundamental reform. He argued that the government has focused on adjusting state benefits to match shrinking economic power and declining tax revenues, rather than implementing measures to restore Germany's competitiveness and export leadership.

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These are only first steps in the right direction. To create a real improvement in the economic situation and a change in sentiment, we are still very far from a package of measures that will truly bring us a recovery.

"Something is happening. But now we must all insist that much more must happen," Kretschmer urged. He observed a lack of understanding within the SPD and trade unions regarding the rapid economic downturn. "What we need now are substantial decisions for a different energy policy, a different climate protection policy, a different relationship between citizens and the state. I don't see any of that," he stated, advocating for "a path of freedom" with less regulation in Berlin and Brussels.

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It is happening. But now we must all insist that much more must happen.

Meanwhile, senior politicians from the coalition factions have called for a pause in debates during the parliamentary summer break to focus on implementing reforms in the fall. Steffen Bilger, parliamentary group leader for the CDU/CSU, advised colleagues to "take a breather rather than strike" during this period.

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A fundamental reform that could truly make us competitive and the world champion in exports again has not yet been initiated.