The proposal comes as Europe scrambles to ramp up its defense capabilities following U.S. President Donald Trump’s warnings that Washington could withdraw its security guarantees. The shift has prompted European leaders to revive their military production lines,

Germany and France have defied the broader market downturn, emerging as standout performers. A rally in France-listed stocks propelled the country ahead of the UK and Canada in market capitalisation,

Israel must meet international obligations regarding the provision of humanitarian aid for the people of Gaza, the foreign ministers of Britain, France and Germany said in a joint statement on Wednesday.

Northern European countries traditionally unenthusiastic about higher spending are wary of Germany’s new-found desire to splash the cash.

The defence industry also stands to gain. Under the prospective coalition's plans, Germany's strict cap on borrowing known as the 'debt brake' would be amended in the constitution to exempt defence expenditure above 1% of economic output.