German coalition to stretch debt repayment, super-charge climate fund

FILE PHOTO: Olaf Scholz, Germany's Social Democratic chancellor-in-waiting, speaks to a a trade union congress in Hanover, Germany, October 27, 2021. REUTERS/Fabian Bimmer

BERLIN (Reuters) - Germany's new coalition parties agreed to create more fiscal firepower for election promises by stretching the repayment period of coronavirus debt and bolstering the government's climate investment fund with a budget manoeuvre.

The budget plans by Chancellor-in-waiting Olaf Scholz, as presented by the three parties in their joint coalition deal on Wednesday, confirmed an exclusive Reuters report from earlier this month.