The federal government agreed on a package of more than 30 reform measures on Wednesday evening. Chancellor Friedrich Merz presented it on Thursday.
The coalition of the Union and SPD agreed on Wednesday evening on tax relief, labor law relaxations and bureaucracy reduction. This includes higher basic and child allowances as well as expanded fixed-term employment contracts.
Chancellor Friedrich Merz said a family with two children and an annual income of 60,000 euros would be relieved by more than 600 euros per year. Finance Minister Lars Klingbeil announced pragmatic solutions for sick notes from the first day.
The DAX reached a record of 25,655 points on Thursday. Ifo President Clemens Fuest praised the willingness to tackle sacred cows but called for further steps such as cutting government spending.
