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Less than two years ago Olaf Scholz was licking his wounds after the most bruising defeat in his long career — losing to two little-known left-wingers in the contest to lead Germany’s Social Democrats (SPD). His dream of one day becoming his country’s chancellor had been dealt a near-fatal blow.
But on Wednesday he sealed one of the most remarkable comebacks in German politics. Written off for months as an also-ran, from a party that was dwindling into irrelevance, he stood before a packed hall as Angela Merkel’s presumptive successor. The occasion was the unveiling of the coalition agreement negotiated by the SPD, Greens and liberals Free Democrats, the fruit of nearly two months of intense negotiations following national elections in September that resulted in a narrow victory for the Social Democrats.
Scholz said his government would usher in a “decade of investment”, and the “biggest industrial modernisation of Germany in more than 100 years”. “We are united by the will to make this country better, to drive it forward and keep it together,” he said. “We want to dare more progress.” The next government, he said, would “invest massively to ensure Germany remains a world leader”, and turn it into a “pioneer in climate protection”.
The deal envisages aggressive action on climate and huge investments in improving Germany’s shabby infrastructure. But it also enshrines key SPD demands: an increase in minimum wage, a commitment to stable pensions and more social housing. The coalition brings together strange bedfellows — a Green party that campaigned to relax the country’s strict fiscal rules and invest billions in greening the economy, and an FDP that insisted on a swift return to pre-pandemic economic orthodoxy. That such ideological differences were bridged — and far faster than many expected — is a testament to Scholz’s skills as a negotiator. It also vindicates the Scholz approach — a pragmatism and moderation which often annoyed left-wingers in his party.
Many in the SPD worried that he was too close to Merkel and her Christian Democrats. Indeed, he explicitly campaigned in this year’s election as the continuity candidate, claiming his long experience in government and down-to-earth, unideological manner made him a worthy heir to Merkel. The message resonated with a voting public alarmed by Covid-19 and already missing the stabilising influence of a chancellor who has governed Germany for 16 years. But Scholz may soon be forced by circumstance to adopt a different style. “If he really wants to . . . tackle the big tasks of our time, climate change, growing social inequality and digitisation, he’ll be forced to do the opposite of what he’s so far known for: he will have to fight, and to fight with passion,” wrote Veit Medick in Der Spiegel....
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