German defence spending draws economic scrutiny amid shifting political landscape

Nexus Europa Newsroom
Posted Aug 16, 2026, 10:30 AM UTC · In the digest of 2026-08-16-1030
German defence spending draws economic scrutiny amid shifting political landscape
Photo: FAZ

Economists have criticised Germany's defence modernisation strategy as new polling shows rising support for the AfD amid domestic and agricultural challenges.

German Defence Minister Boris Pistorius is facing fresh scrutiny over military spending from the Kiel Institute for the World Economy (IfW). IfW President Moritz Schularick warned that procurement plans through 2030 channel substantial resources into legacy equipment, such as tanks and frigates, rather than modern weapon technologies.

The critique arrives amid broader political and domestic shifts across Germany. The latest Deutschlandtrend survey indicates that the Alternative for Germany (AfD) has widened its lead over the conservative CDU/CSU bloc, with growing public support for issue-by-issue parliamentary cooperation with the party. Meanwhile, the Social Democratic Party is confronting internal grassroots discontent, Berlin law enforcement is monitoring organised crime networks, and severe drought conditions continue to strain livestock feed supplies in the agricultural sector.

Sources: Der Spiegel, Die Zeit, DW, FAZ, Tagesschau

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