European Union leaders have reached a significant compromise, approving an interest-free loan of 90 billion Euros for Ukraine to address its financial needs for the years 2026 and 2027. The agreement, announced by European Council President António Costa, came after intense negotiations, with the funds to be raised by the EU on capital markets.
The European Central Bank maintained its key interest rates on December 18, 2025, keeping the benchmark deposit rate at 2% for the fourth consecutive meeting. This decision reflects a pause in the rate-cutting cycle that began in June 2024, as the ECB balances inflation control with economic stability amid revised growth and inflation forecasts for the Eurozone.
Deutsche Bank and Postbank have made the full functionality of the Wero digital payment app available to their clients, enabling real-time money transfers and online payments across Europe. The app, part of the European Payments Initiative, aims to create a unified European payment landscape, offering a direct link to bank accounts for secure and instant transactions.
The German government has approved legislation to include wolves in hunting law, simplifying the culling of 'problem wolves' responsible for livestock attacks. This decision, backed on December 17, 2025, aims to balance conservation with agricultural concerns, while financial support for protective measures continues.
Germany's Federal Network Agency (Bundesnetzagentur) has announced reduced price ceilings for rooftop solar and onshore wind tenders scheduled for 2026. The new caps are set at €0.10 per kWh for rooftop solar and €0.0725 per kWh for onshore wind, reflecting decreased costs and high competition in the renewable energy sector.
German Chancellor Friedrich Merz indicated that Western peacekeepers could repel Russian forces in Ukraine under post-ceasefire security guarantees, a prospect he described as distant. His comments followed recent talks in Berlin concerning Ukraine's future security. Merz also highlighted the potential use of frozen Russian assets for Ukraine's defense.
Volkswagen's new electric ID. Polo is nearing series production, targeting a 2026 market launch in Europe with a starting price of 25,000 euros. Built on the MEB+ platform, it will offer up to 450 km range and various power outputs, with production slated for Martorell, Spain.
Germany has cautioned EU countries that refusing to back a 'reparations loan' for Ukraine, financed by frozen Russian assets, could lead to negative financial consequences, including higher interest rates and credit downgrades. The warning comes amid deepening divisions ahead of a crucial EU summit on Ukraine's funding. Belgium and several other nations express concerns over legal and financial risks.
A significant lithium deposit of 43 million tons of Lithium Carbonate Equivalent has been confirmed in Germany's Altmark region. Discovered by Neptune Energy and verified by Sproule ERCE, this find could substantially boost European resource independence for electric vehicle battery production using environmentally friendly direct lithium extraction.
German President Frank-Walter Steinmeier joined a public Hanukkah candle lighting at Berlin's Brandenburg Gate on December 14, 2025, in a powerful act of solidarity with the Jewish community. The event followed a deadly antisemitic terror attack at a Hanukkah celebration in Sydney, Australia, which claimed at least 15 lives.
Germany's far-right AfD party announced plans to host a congress in Berlin in February, inviting US State Department officials, members of Congress, and Republican-linked groups. The move aims to deepen connections with the US Republican Party, particularly the 'Make America Great Again' movement, amidst ongoing efforts to build international legitimacy.
Ukrainian Deputy Defense Minister Sergiy Boyev concluded a working visit to Berlin, engaging with German officials and defense industry representatives. Discussions focused on bolstering Ukraine's air defense capabilities, outlining military assistance for 2026, and advancing joint defense-industry projects, including localized production and drone funding.
Germany has officially introduced a new online visa application system for Pakistani citizens, effective December 12, 2025. This digital transformation aims to streamline the visa process for long-term stays, including student and employment categories, by enhancing transparency, reducing waiting times, and increasing efficiency. All previous waiting lists have been closed, with new applications now exclusively processed online.
Germany has formally accused Russia of orchestrating a cyberattack on its air traffic control in August 2024 and a disinformation campaign aimed at influencing the February 2025 federal election. The Russian ambassador to Berlin was summoned to the German Foreign Office on Friday to protest these 'hybrid activities,' which German intelligence attributes to the GRU-linked hacker groups APT28 (Fancy Bear) and Storm 1516. Berlin has vowed countermeasures in coordination with European partners.
NATO Secretary General Mark Rutte issued a stark warning in Berlin on December 11, 2025, stating Russia's aggression might not halt at Ukraine and that NATO could be its next target. He urged member states to significantly increase defense spending and provide immediate support to Ukraine, emphasizing the urgent need for a 'wartime mentality' to prevent further conflict.
Germany has amended its Citizenship Act, reinforcing the link between naturalisation and sustainable integration. The standard residency requirement for citizenship is now five years, following the recent abolition of a fast-track three-year option introduced in 2024. Dual citizenship remains permissible under the updated law.
Germany has formally rejected proposals for a new multilateral defense bank, including the Defence, Security and Resilience Bank (DSRB) and the European Rearmament Bank (ERB). Berlin stated it can secure better refinancing terms on its own markets and will instead focus on existing EU mechanisms like the Security Action for Europe (SAFE) scheme, which provides up to 150 billion euros for joint defense procurement.
A Europol-supported operation in Germany on December 10, 2025, resulted in the arrest of three key suspects and the seizure of over €5 million in criminal assets linked to the 'Balkan Cartel'. The coordinated action targeted high-value individuals involved in multi-tonne cocaine shipments, money laundering, and weapons trafficking.
Environmental Action Germany (DUH) has filed a lawsuit against the state of Berlin, alleging a failure to update its Energy and Climate Protection Program (BEK) and insufficient progress towards climate targets. The group demands concrete measures to accelerate CO2 reduction.
Germany's highest financial court, the Federal Fiscal Court, has ruled the property tax reform lawful, rejecting lawsuits challenging its constitutionality. The decision affects millions of properties, though taxpayer associations plan to escalate challenges to the Federal Constitutional Court.
