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Reuters
Reuters
Business
By Sarah Marsh and Michel Rose

Analysis: Germany's government looks inward as challenges mount, allies fret

German Chancellor Olaf Scholz attends the weekly cabinet meeting in Berlin, Germany, December 7, 2022. REUTERS/Michele Tantussi

In its first year, Chancellor Olaf Scholz's government has driven the biggest overhaul of German policy since World War Two. The next year could be even tougher, further absorbing Berlin's bandwidth to Europe's detriment.

Scholz, formerly the finance minister, came to power pledging continuity with the era of Angela Merkel who oversaw 16 years of prosperity and stability in Europe's largest economy, enabling her to take stewardship of the broader region.

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