Ukraine conflict makes Germany ‘poorer’ – finance minister — Analysis

Christian Lindner acknowledged that the government “can’t offset this loss in prosperity”

Germans are already paying a price for Russia’s military campaign in Ukraine, the country’s finance minister has acknowledged.

Christian Lindner, speaking to Bild tabloid newspaper said: “the Ukraine war is making us all poorer, for example, because we have to pay more for imported energy.”

The German minister admitted that his government was a problem in a Sunday interview. “cannot offset this loss in prosperity,”A positive side note is that authorities were doing their best to make the situation better. “cushion the biggest shocks.”

Lindner is not happy with the current economic state. “serious concerns,”The minister admitted that the reason was sagging economic growth and increasing prices. He assured journalists that his government was doing everything possible to help. “avoid the threat of so-called stagflation.”

Lindner stated that Berlin has taken measures to help the middle class and the most vulnerable members of society. The German official pointed out, however, that since the country’s financial resources are limited, these programs are all meant to be temporary.

German industry would collapse without Russian gas – BDI

Germany’s long-term success will depend on its ability to “lay new foundations of prosperity,”Lindner cautioned, pointing out that particular emphasis must be given to social and environmental aspects.

Germany’s continued existence was questioned when asked by a reporter. “funding warmonger Putin with our gas and oil imports,”German finance minister said that Russian oil supplies should be halted “would have dramatic effects on our country.”Lindner stated that potential repercussions could go well beyond the money. “physical availability of energy”Germans. He also saluted the recent sanctions imposed upon Moscow. “unparalleled,”While highlighting the need for punitive measures, “not jeopardize Germany’s stability.”

Lindner said that Berlin would not freeze, and no German would be frozen next winter. “building up reserves and tapping alternative sources of supply.”He suggested that Germany may consider using “oil and gas reserves in the North Sea, the extraction of which had thus far been deemed too expensive.”

To end the “The End of Lindner’s Dream”, Germany will need to spend a lot of money. “neglect” of the country’s military.

Lindner promised no tax rises this year, despite economic woes, and huge spending plans in the German budget. He said that some taxes would even be cut to avoid tax increases. “damage the economic recovery.”

Germany – one of Europe’s industrial powerhouses – is a major importer of Russian natural gas, with 34% of the fuel consumed in the country last year coming from Russia. Berlin also imports significant quantities of Russian oil.

Germany triggers gas emergency plan

After Russia’s offensive against Ukraine on February 24, energy prices rose to levels not seen since 2008, when they reached unprecedented heights. Although prices have stabilized somewhat, they are still much higher than before February 24, when Russia launched its offensive against Ukraine. This resulted in a surge of energy costs and increased operational and living expenses for European businesses and households.

Russian President Vladimir Putin has signed on Thursday a decree that requires countries who have issued sanctions against Moscow to begin paying in rubles for Russian gas starting April 1. Dmitry Peskov, spokesperson for the Kremlin, warned that failures to make this payment would result in gas shortages. Moscow had not yet decided to stop giving away its supplies. “free of charge.”Moscow asserts that Western sanctions made it impossible for Russia to choose but to use its currency national, which could include dollars or euros. “taken away.”

Germany has, however, refused to comply with Russia’s demands, describing them as “blackmail”This is contrary to existing gas contract terms.



Related Articles

Back to top button