German defence spending faces renewed economic critique amid political shifts

Nexus Europa Newsroom
Posted Aug 15, 2026, 11:00 PM UTC · In the digest of 2026-08-15-2300
German defence spending faces renewed economic critique amid political shifts
Photo: FAZ

Economist Moritz Schularick has criticised German defence procurement priorities as new polling shows rising AfD support amid broader domestic policy challenges.

German Defence Minister Boris Pistorius is facing scrutiny from economic experts over the strategic direction of national military procurement. Moritz Schularick, president of the Kiel Institute for the World Economy (IfW), argued that projected defence spending through 2030 prioritises legacy hardware, such as tanks and frigates, rather than modern warfare capabilities.

The debate coincides with shifting domestic political dynamics. A recent Deutschlandtrend survey shows the Alternative for Germany (AfD) widening its lead over the conservative CDU/CSU alliance, accompanied by increasing public openness toward case-by-case parliamentary cooperation. Concurrently, the governing Social Democratic Party is contending with internal frustration. German authorities are also addressing concerns regarding organised gang activity in Berlin, while the agricultural sector seeks government support to mitigate severe livestock feed deficits caused by ongoing drought conditions.

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

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