Germany: the three biggest issues facing Chancellor Olaf Scholz

By Niccolò Pisani, Professor of Strategy and International Business, International Institute for Management Development (IMD)

Olaf Scholz is soon to be sworn in as the new chancellor of Germany after nearly two months of intense negotiations between the Social Democrats (SPD), Greens, and liberal Free Democrats (FDP).

It is a complex coalition as the three allies had different – at times opposing – priorities ahead of the elections. On taxation, for instance, the Greens and SPD promised to raise taxes on high-earners, while the FDP was strongly opposed. With the SPD receiving six ministries…

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