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Olaf Scholz voted in to replace Merkel as Germany’s chancellor

Germany’s parliament elected Olaf Scholz as the country’s ninth post-World War II chancellor on Wednesday, opening a new era for the European Union’s most populous nation and largest economy after Angela Merkel’s 16-year tenure.

Scholz’s government takes office with high hopes of modernizing Germany and combating climate change but faces the immediate challenge of handling the country’s toughest phase yet of the coronavirus pandemic.

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Lawmakers voted by 395-303 to elect Scholz as chancellor, with six abstentions. His three-party coalition holds 416 seats in the 736-seat lower house of parliament.

Scholz exchanged fist bumps with lawmakers from across the political spectrum. He was to be formally named as chancellor by Germany’s president and sworn in by the speaker of parliament later Wednesday.

Merkel, who is no longer a member of parliament, looked on from the spectators’ gallery as parliament voted. Lawmakers gave her a standing ovation as the session started.

Scholz, 63, Germany’s vice chancellor and finance minister since 2018, brings a wealth of experience and discipline to an untried coalition of his center-left Social Democrats, the environmentalist Greens and the pro-business Free Democrats. The three parties are portraying their uniting of former rivals as a progressive alliance that will bring new energy to the country after Merkel’s near-record time in office.

“We are venturing a new departure, one that takes up the major challenges of this decade and well beyond that,” Scholz said Tuesday. If the parties succeed, he added, “that is a mandate to be reelected together at the next election.”

The new government aims to step up efforts against climate change by expanding the use of renewable energy and bringing Germany’s exit from coal-fired power forward from 2038, “ideally” to 2030. It also wants to do more to modernize the country, including improving its notoriously poor cellphone and internet networks.

It also plans more liberal social policies, including legalizing the sale of cannabis for recreational purposes and easing the path to German citizenship while pledging greater efforts to deport immigrants who don’t win asylum. The coalition partners want to lower the voting age in national elections from 18 to 16.

The government also plans to increase Germany’s minimum wage to 12 euros ($13.50) per hour from the current 9.60 euros, which Scholz has said “means a wage increase for 10 million.” And the coalition also pledged to get 400,000 new apartments per year built in an effort to curb rising rental prices.

Scholz has signaled continuity in foreign policy, saying the government would stand up for a strong European Union and nurture the trans-Atlantic alliance.

The three-party alliance brings both opportunities and risks for all the participants, perhaps most of all the Greens. After 16 years in opposition, they will have to prove that they can achieve their overarching aim of cutting greenhouse gas emissions while working with partners who may have other priorities.

Greens co-leader Robert Habeck will be Scholz’s vice chancellor, heading a revamped economy and climate ministry. The government’s No. 3 official will be Christian Lindner, the finance minister and leader of the Free Democrats, who insisted that the coalition reject tax hikes and looser curbs on running up debt.

The incoming government is portraying itself as a departure in both style and substance from the “grand coalitions” of Germany’s traditional big parties that Merkel led for all but four years of her tenure, with the Social Democrats as junior partners.

In those tense alliances, the partners sometimes seemed preoccupied mostly with blocking each other’s plans. Merkel’s final term saw frequent infighting, some of it within her own center-right Union bloc, until the pandemic hit. She departs with a legacy defined largely by her acclaimed handling of a series of crises, rather than any grand visions for Germany.

Scholz told his party last weekend that “it was difficult” governing with Merkel’s bloc, which his Social Democrats narrowly beat in Germany’s September election. He criticized the Union bloc’s “this-far-and-no-further conservatism.”

The agreement to form a coalition government between three parties that had significant differences before the election was reached relatively quickly and in unexpected harmony.
“If the good cooperation that worked while we were forming the government continues to work, it will be a very, very good time for the tasks that lie ahead of us,” Scholz said. He acknowledged that dealing with the pandemic “will demand all our strength and energy.”

German federal and state leaders last week announced tough new restrictions that largely target unvaccinated people. In a longer-term move, parliament will consider a general vaccine mandate. Germany has seen daily COVID-19 infections rise to record levels this fall, though they may now be stabilizing, and hospitals are feeling the strain. The country has seen over 103,000 COVID-19 deaths in the pandemic so far.

Merkel has said she won’t seek another political role after shepherding Germany through a turbulent era. The 67-year-old hasn’t disclosed any future plans but said earlier this year that she will take time to read and sleep, “and then let’s see where I show up.”

Read more: Merkel urges Germans to get vaccinated in final podcast

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Saudi Fund for Development Celebrates 50 Years of Global Impact with Over $20 Billion in Development Contributions

The Saudi Fund for Development (SFD) celebrated its 50th anniversary in Riyadh today, under
the theme “50 Years of Global Impact.”The event brought together key development partners to
reflect on the SFD’s significant contributions to sustainable development worldwide. Over the
past five decades, the SFD has allocated over $20 billion, financing more than 800 development
projects and programs in vital sectors, including social infrastructure (education, healthcare,
water and sewage, and housing and urban development), communication and transportation
(roads, railways, airports and seaports), energy, agriculture, mining and industry, and others.
Since its inception in 1974, the SFD has been the international development arm of the Kingdom
of Saudi Arabia and has provided critical support to over 100 developing nations around the
world. With a strong focus on supporting countries to achieve the Sustainable Development
Goals (SDGs), the SFD has played a pivotal role in driving sustainable development in Least
Developed Countries (LDCs) and Small Island Developing States (SIDS).
During the event, SFD Chairman H.E. Ahmed Al-Khateeb emphasized the importance of
collaboration in driving global development. He highlighted that SFD’s success is deeply rooted
in its partnerships, with 27 development projects and programs in 23 developing countries in
2023 co-financed with other funders. He also underscored the need to forge new partnerships and
strengthen existing ones to create a world where every individual has the opportunity to reach
their full potential.
Reflecting on this significant milestone, the SFD CEO , Mr. Sultan bin Abdulrahman Al-
Marshad, stated: “As we celebrate five decades of impactful work, we are committed, now more
than ever, to supporting developing countries on their journey to economic self-reliance and
resilience. Our goal is to ensure that all children can go to school, that education is not a
privilege but something every child should have access to, and that families have access to
healthcare and basic vital services. Equally, we focus on critical infrastructure development, like
building roads and enhancing airports and sea ports, so that countries can thrive and engage in
economic activities and trade. This work is not just about financing; it’s about tangibly
improving lives, creating opportunities, empowering communities, and building a more
prosperous future.”
On the sidelines of the 50 th Anniversary Gala, the SFD and the Asian Development Bank (ADB)
signed a new $25 million agreement to co-finance a renewable energy development project in the
Solomon Islands. This marks the first project for SFD in the Solomon Islands. The primary aim

of the project is to develop renewable energy infrastructure, reduce dependency on fossil fuels,
and promote sustainable development in the region.
This agreement builds on SFD’50 years of transformative impact through development projects
that have spanned Africa, Asia and the Pacific, Latin America and the Caribbean, and Eastern
Europe.
This includes key projects such as the Metolong Dam in Lesotho, which received $25 million in
funding and now provides potable water to 280,000 people, enhancing water security and public
hygiene and health in the region. This is just one of the 433 projects across Africa, with a total
funding of $11.5 billion, which focuses on critical areas such as infrastructure and water security.
In Asia, the SFD has funded 271 projects with a total funding of $7.8 billion. One notable
example is the SFD’s contribution to the Mohmand Dam Hydropower Project in Pakistan, which
has an overall project cost of $240 million. The projects contributes to the country’s energy
security and flood resilience by generating 800 megawatts of renewable energy and storing 1.6
million cubic meters of water.
In Latin America and the Caribbean, the SFD has financed 21 projects, totaling $951 million
USD. This includes rehabilitating the Water and Sewage System in Havana, Cuba, where the
SFD has allocated $35 million to enhance public infrastructure. Another significant initiative is
the rebuilding of St. Jude Hospital in Saint Lucia, supported by $75 million funding, which will
contribute to providing high-quality health services to citizens in a modern and sophisticated
facility and providing sufficient medical supplies and equipment to support the effective
operation of the hospital.
In Eastern Europe, the SFD has contributed to 14 projects with a total investment of $303
million. A key initiative is the construction of the Tirana-Elbasan-Chokos-Chalf-Ploce Road,
where the SFD provided $73.8 million to rebuild essential roads and bridges, thereby boosting
regional economic activities.
During the celebration, esteemed speakers shared insights on the SFD’s pivotal role in global
development, and in championing critical partnerships and collective action and response.
Keynote speakers included:

 HRH Prince Turki bin Faisal Al Saud, Founder and Trustee of the King Faisal
Foundation
 H.E. Ahmed bin Aqeel Al-Khateeb, Chairman of the Board of Directors of the SFD
 H.E. Akinwumi Adesina, President of the African Development Bank Group
 H.E. Muhammad Al Jasser, Chairman of the Islamic Development Bank

These global development leaders emphasized the SFD’s commitment to fostering sustainable
growth in countries and communities with the most pressing developmental needs. The gala was attended by more than 500 people, including ministers, heads of regional and international organizations, ambassadors, representatives of the United and other distinguished
guests. As the SFD looks to the future, it reaffirms its mission and pledge to drive international
development efforts, on behalf of the Kingdom of Saudi Arabia, and to contribute to global
stability, social progress, and economic prosperity for future generations.

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Jordan warns of escalation in southern Lebanon

Jordan warned on Sunday of the increasing escalation in southern Lebanon and a potential regional war in light of the ongoing Israeli aggression in Gaza, Jordan News Agency (Petra) reported.

Foreign Ministry spokesperson Sufian Qudah discussed supporting Lebanon, its security, stability and the safety of its people and institutions, noting the need to adhere to Security Council Resolution 1701 to reduce and prevent further escalation and protect the region from the risk of slipping into a regional war.

Qudah added that the Israeli war on Gaza and the failure to reach an exchange agreement that leads to an immediate and permanent ceasefire puts the entire region at risk of the conflict expanding.

He discussed launching an effective international movement that imposes an immediate cessation of the aggression on Gaza.

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China issues guidelines for coordinated digital, green transformation

China’s Office of the Central Cyberspace Affairs Commission and nine central departments have issued new guidelines for the coordinated transformation toward digital development and green growth, Xinhua News Agency reported.

Published on Saturday, the guidelines focus on two main areas: promoting the green, low-carbon development of digital industries and accelerating the green transformation of various sectors through digital technology.

They aim to accelerate the coordinated transformation toward digital development and green growth, promote the integration of emerging technologies with green, low-carbon industries, and enhance traditional industries using digital and green technologies.

Outlining fundamental principles, the guidelines specify the roles of authorities, industry associations, universities, research institutes and businesses in driving this transition.

They provide a three-part framework covering the basic capacity, technological systems and industrial systems for digital-green integration.

Regions are encouraged to focus on high-quality development, develop new quality productive forces, leverage local resources and create specialized industries and functional advantages to accelerate coordinated digital and green development.

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