German expert commission to propose debt brake modernization to boost investment

BERLIN, March 4 (Reuters) - German parties in talks to form a government want to modernize the country's debt rules to enable more investment in the long run, in addition to creating a special fund to provide an immediate boost, according to a paper obtained by Reuters.

Germany's conservative CDU/CSU and Social Democrats agreed to set up a commission of experts to develop proposals for modernizing the debt brake that limits government borrowing to 0.35% of gross domestic product, the document showed.

Those proposals should be the basis for legislation to be completed by the end of 2025, it said.