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In times of turmoil for democracy and the economy: Friedrich Merz becomes Germany's tenth chancellor, expectations and challenges

Politiko 2025-05-06 17:29:55

In times of turmoil for democracy and the economy: Friedrich Merz becomes

Friedrich Merz has been officially elected as Germany's new chancellor, taking office at a crucial moment for the country and its role on the international stage. After a second vote in the Bundestag, Merz became Germany's tenth chancellor since the end of World War II.

The 69-year-old Christian Democratic Union (CDU), who won elections in February and reached an agreement to form a majority government with the Social Democrats (SPD), comes to power after a six-month period of government deadlock caused by the collapse of Olaf Scholz's coalition.


“We live in times of great turmoil and uncertainty,” Merz said during the signing of the new government agreement. He stressed that Germany’s new leadership must face extraordinary challenges, both domestically and in foreign policy.

Among the main challenges is the return of the Donald Trump administration in the US, which has threatened to impose tariffs on the European Union and withdraw from traditional European defense responsibilities. The German economy, already stagnant due to the energy crisis and global competition, could face a deep recession if these American plans come into effect.

Merz, who previously worked as a private sector consultant and is a supporter of transatlantic relations, has faced criticism but also high expectations for bringing stability and a new vision to Germany. Analysts see his appointment as a signal that Berlin is ready to play a leading role in Europe again, after a period of uncertainty under the Scholz government.


Domestically, Merz has stressed the need to curb the rise of extremist parties, such as the Alternative for Germany (AfD), which was officially declared “extremist” by domestic intelligence and is under increased surveillance. To counter these risks, the new chancellor has signed an agreement with the SPD to relax the constitutional debt limit and significantly increase investment in defense and infrastructure.


He has also promised to reform the national security structure, through the creation of a National Security Council that will function under the chancellery and coordinate foreign and defense policies.


"Germany can no longer be just an observer of European politics. It must lead and shape it," declared foreign policy expert Jana Puglierin.

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