German parliament OKs massive defense, infrastructure spending package

German lawmakers on Tuesday approved a landmark defense and infrastructure spending plan, which experts say could resuscitate Europe’s largest economy and spur Europe’s rearmament efforts.

Incoming chancellor Friedrich Merz took the unusual step of using the outgoing parliament to secure a supermajority, which was needed to OK up to $1 trillion in debt-fueled investments.

The upper house of parliament representing Germany’s states is expected to approve the package in a vote on Friday.

Germany has traditionally been frugal, but its newfound willingness to spend big could have continent-wide implications, with Brussels increasingly open to common borrowing, Politico wrote: Europe may have its “Hamiltonian moment” and move toward joint EU debt issuance.