German parliament's budget committee approves plan to increase government borrowing

On Sunday, the German parliament's budget committee approved the plan of a significant increase in government borrowing aimed at bolstering defense and boosting the country's GDP growth, Reuters reports.

The committee met at an extraordinary session and supported the bill, which was agreed by the Social Democrats, the conservative CDU/CSU, and the Green Party, sending it to the German parliament for adoption, the news agency says.

The plan includes changing government borrowing rules and spending 500 billion euros (540 billion US dollars) on Germany's infrastructure development. The vote to pass the bill is scheduled for March 18. It will be one of the last major decisions of the current lower house of the German parliament before the new one convenes on March 25, according to Reuters.

The Greens lawmaker Sven-Christian Kindler believes the aforementioned bill could help increase investment in the future.