
Germany’s government has been criticised for an “absurd” plan to present interest payments as defence expenses after stepping back from pledges to hit Nato spending targets.
Berlin abandoned a legally binding commitment to spend 2 per cent of GDP on defence in a last-minute reversal on Wednesday, a government official told Reuters.
An objection to the clause, which had been part of a new budget financing law, was reportedly raised by the foreign ministry. The ministry is run by the Green party in Chancellor Olaf Scholz’s three-way coalition government.
