Germany's budget cuts slash aid to Ukraine by nearly half
Germany is tightening its belt, which will also affect aid to Ukraine. Spending on supporting the country's defense against Russia is expected to drop by almost half. However, Berlin assures Kyiv that funds will continue to flow.
After a short period of a generous German budget, Berlin is returning to its almost traditional austerity policy. Drastic budget cuts will not spare Ukraine. Although this year's aid spending for Kyiv is expected to be 7.5 billion euros (CAD 11.1 billion), it will be only 4 billion euros (CAD 5.9 billion) next year.
This decision is the result of months of coalition discussions seeking savings. Only defence spending is expected to increase minimally.
These actions may result from Finance Minister Christian Lindner's persistence and Berlin's changing approach to the war in Ukraine. Head of the SPD faction in the Bundestag, Rolf Mützenich, spoke of "freezing the war in Ukraine." Although he was criticized for this even by party colleagues, many Social Democrats share this view.
Funds from frozen Russian capital will flow to Ukraine
The authorities, however, distance themselves from this approach. German Chancellor Olaf Scholz argues that the G7 decided to support Ukraine with a $73.8 billion CAD loan, which would be repaid from interest on frozen Russian capital in Western banks.
"Germany remains absolutely committed to its cause, and the Chancellor's words that support for Ukraine will last as long as necessary, and that no one, especially the Russian president, can hope that we will weaken these efforts, remain in force," said Deputy Government Spokesman Wolfgang Buechner in Berlin.
"Rumours that Germany stops its support to #Ukraine are wrong. We stand with Ukraine & will support Ukraine as long as it takes. Since the beginning of Russia’s war of aggression, has supported with €34 billion. This year, we will provide military aid north of €7 billion," assured Foreign Ministry Spokesman Sebastian Fischer.
This year, Germany intends to supply Ukraine with four IRIS air defence systems, 10 Gepard tanks, 16 howitzers, 10 Leopard tanks, drones, and ammunition. On German territory, 10,000 Ukrainian soldiers are being trained.
