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There is so much happening in Germany and worldwide right now. So, we decided to cover most of those briefly in this newsletter. We hope you'll find it useful. :)

#1 The CDU, SPD, and the Green party came to a conclusion on the 500 billion special fund

• The proposed 500 billion euros can only be used for additional investments and projects and not for existing projects or tax cuts/social benefits.
• The "Climate Protection Fund" will receive 100 billion euros.
• Under the new agreement, not only the Federal government, but also the Federal states can borrow new money to a limited extent.
• The special fund will be used for defense, civil protection, cybersecurity, intelligence services, and support for Ukraine.

#2 The German army is growing older

German Bundeswehr is facing the following challenges.

• Growing older: The average age was 32.4 years at the end of 2019; it grew to 34 years at the end of 2024.
• Lack of officers: 28% of positions are unfilled in lower ranks and 20% in higher ranks.
• Lack of facilities and instructors: Germany can't bring back mandatory military service as the Bundeswehr cannot handle it due to a lack of facilities and instructors.

Proposal of the defense commisioner (Eva Högl)

Both young men and women will serve a mandatory "social year." During this year, some will serve as soldiers, while others will serve in different capacities, such as disaster relief.

#3 Strikes

There have been regular warning strikes in public sectors such as Kitas, hospitals, waste collection, water regulation, public transport, airports, job centres, etc. The Ver.di trade union is negotiating for the workers. They are demanding

• 8% hike, but at least 350€
• 3 more holidays

Ver.di represents and negotiates for more than 2.5 million public-sector employees. The latest discussions were held on 14 March and will, if necessary, continue until Monday (17 March).

If the employer and Ver.di cannot agree, public sector employees will go on an unlimited strike.

#4 Mortgage interest rates are rising

Despite the ECB lowering the borrowing rate to 2.5%, the mortgage interest rates have risen on average by 0.33% to 3.69%. This is due to the €900 billion debt package proposed by the CDU/CSU and SPD.

After the debt and investment plans were announced, yields on ten-year government bonds rose by 0.4 percentage points to 2.9%. As mortgage interest rates depend on government bond yields, they are also rising.

If you are looking to buy a property in Germany, educate yourself to avoid expensive mistakes. We have written a book that explains every step in detail. You can get your copy here.

#5 We are in Stage 5 of the changing world order

Many of you might know Ray Dalio, a famous investor and the founder of Bridgewater Associates (an investment firm). In his best-selling book "Principles for Dealing with the changing world order*", he discusses the historical cycles that drive the rise and fall of empires.

Dalio analyzed five centuries of economic, political, and social trends to uncover recurring patterns that reveal the stages nations experience as they grow and fall. He also shared practical strategies to navigate each phase effectively.

According to the book, we are in the mid-to-late phase of Stage 5. In this stage, we see people picking sides of one or other political extreme, an increase in the number of protests (starting with peaceful protests and later violent), high debt, poor economic conditions, increased wealth gaps, etc.

After stage 5 is "stage 6" marked by civil war and revolutions. Historically, civil wars have been brutal with loss of lives.

Considering current world politics and economic situation, we found this book helpful in understanding the bigger picture and how to prepare for what might come next. We highly recommend that everyone read this book*.

If you want us to write more about this topic and what we learned in the book, reply with "Yes" to this email. We'll dedicate a newsletter to this topic.

#6 Here is how the public health insurance premiums have increased over 55 years

Although the public health insurance premium has increased yearly for the past 55 years, the German healthcare system's financial situation is still bad. What's troubling is that it's getting worse each year.

The top reasons experts point out are

• Aging population
• Inflation - Medicine costs, doctors' fees, equipment costs, etc. have increased drastically in the past 3 years.

However, based on the data, we think the system is either inefficient or corrupt. Check out our recent tweet, in which we discussed this topic further.

Team GermanPedia @TGermanPedia In 2000 Number of free members: 20.2 mil Number of pensioners: 15.3 mil Number of paying members: 29.2 + 6.5mil In 2025 Number of free members: 15.1 mil Number of pensioners: 17.7 mil Number of paying members: 35.2 + 6.3mil Number of free members REDUCED by 5 mil Number of… https://x.com/i/web/status/1900624900307497045 8:7 PM • Mar 14, 2025 0 Retweets 0 Likes

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Did you know,

• "Additional contribution" was added on 1 Jan 2009.
• "Long-term nursing insurance" was added on 1 Jan 1995.
• The "Basic contribution" is frozen at 14.6%. However, considering the current financial challenges, it may increase again. Experts predict it will increase to up to 30% by 2050.

We find TK the best public health insurance provider for expats. Its website, mobile app, and customer service are in English. You can register with TK online.

#7 DB paid 200 million euros in compensation for delays

DB paid 200 million euros in compensation for delays in 2024. Here are your rights and entitlements.

• 25% refund if you arrive at your final destination one hour late
• 50% refund if you arrive at your final destination two hours late.
• If the train will arrive at the station 60 minutes late, you can withdraw from the journey and 100% refud.
• Get overnight accommodation.
• Reimbursement of costs for other means of transport.

You can read more about it on the DB website.

The same applies to airlines. You can get a refund if you cancel a flight or if it's delayed. Suppose the airline or DB refuses to make a refund; you can contact a lawyer for support.

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So, if you find what we are doing helpful, please leave a simple star rating or a short review on Google. This will help more users discover GermanPedia.

Community Shoutouts! 📣

• Spring is right around the corner, and so is the cherry blossom. Here are the places in Berlin where you can view them: Landwehr Canal, Bornholmer Straße, Hanami at Gardens of the World, and Mauerweg. You can also view cherry blossoms in Bonn, Munich, Hamburg, and, of course, Japan ;-).
• Thanks to your feedback, we fixed some mistakes in our German citizenship questions.
• You can now submit articles/guides to GermanPedia. If you want to share your experience with thousands of readers visiting GermanPedia, submit your draft here. We are looking forward to your stories and experiences.
• Do you think you are overpaying rent? Book a free initial call with the lawyer we have partnered with to evaluate your situation.

Whether it's a must-visit place, a life hack, or an inspiring story, we’d love to hear from you.

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Expats guide to buying a house in Germany Grab your copy German healthcare demystified Free Download German healthcare demystified for students Free Download ​ Deals for you Ask an expert ​Health insurance expert​ ​Mortgage advisor​ ​Tax advisor​ ​Lawyers​ Important types of insurance you should have in Germany ​Public health insurance ​ ​Register with TK​ ​Private health insurance ​ ​Consult an expert for free​ ​Dental Insurance ​ ​Deutsche Familienversicherung AG* Allianz ​Private liability insurance Die Haftpflichtkasse (Einfach Komplett). You can get it via comparison portals like Check24* and Verivox*. ​Legal protection insurance ​Arag* ​KS-Auxilia* WGV ​Car Insurance​ ​Verivox* ​Tarifcheck* ​Term life insurance​ ​Allianz* Personal Finance Free trading accounts ​Scalable Capital* ​Finanzen.net Zero* Tax Software ​Wundertax* ​SteuerGo* Free Checking account ​C24* ​N26* NOTE: Investing involves the risk of loss Fixed account for 12 months (Festgeld) Up to 2.75% interest. Check offers from different providers here*. Tagesgeld account for 6 months Up to 2.9% interest. Check offers from different providers here*. Personal loan ​Verivox* ​Tarifcheck* ​Finanzcheck* ​Smava*

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