Investment data on February 24th, according to Barclays analysts, the upcoming coalition government in Germany may support some fiscal easing policies, which will be welcomed by the Capital Markets. Although the far-right Alternative for Germany (AfD) and the Left Party may form a minority alliance obstructing constitutional amendments and reforms, the Left Party's support for reforming the 'debt brake' mechanism means that fiscal expansion policies are still feasible. If a two-party ruling coalition is formed by the conservative Christian Democratic Union (CDU) and the Social Democratic Party (SPD), the policy focus may shift to tax cuts and defense spending. And if a three-party coalition government including the Green Party is formed, smaller-scale tax reduction measures are expected to be implemented, while cutting defense budgets at the expense of redirecting more fiscal resources to the green transformation sector.
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Barclays: Almanya'nın yeni hükümeti mali genişlemeyi teşvik edebilir ve borsanın politika temettülerini memnuniyetle karşılaması bekleniyor
Investment data on February 24th, according to Barclays analysts, the upcoming coalition government in Germany may support some fiscal easing policies, which will be welcomed by the Capital Markets. Although the far-right Alternative for Germany (AfD) and the Left Party may form a minority alliance obstructing constitutional amendments and reforms, the Left Party's support for reforming the 'debt brake' mechanism means that fiscal expansion policies are still feasible. If a two-party ruling coalition is formed by the conservative Christian Democratic Union (CDU) and the Social Democratic Party (SPD), the policy focus may shift to tax cuts and defense spending. And if a three-party coalition government including the Green Party is formed, smaller-scale tax reduction measures are expected to be implemented, while cutting defense budgets at the expense of redirecting more fiscal resources to the green transformation sector.