Germany has passed numerous bureaucracy alleviation laws, including one taking effect this year which it promises will save 944 million euros through measures like digitalising tax notices and reducing the length of time businesses must keep receipts to eight years from ten.

Germany is in for a massive ramp-up in spending under an agreement by the parties hoping to form its next government, with a 500 billion euro special fund sought for infrastructure and plans to unshackle defence investment from its debt rules.

Triumphant CDU leader hits out at Washington and calls for stronger European security amid attempts to build government.

The parties hoping to form Germany's next government have agreed to create a 500 billion euro infrastructure fund and overhaul borrowing rules, a tectonic spending shift that jolted markets on Wednesday on hopes of reviving Europe's largest economy.

The two political parties expected to form the next German government have agreed to significantly loosen the country’s constitutional restriction on deficits, enabling 1 trillion euros ($1.08 trillion) or more in new borrowing and spending on defense and infrastructure.

If Germany is to quickly revive its flagging industrial economy, businesses say the country's new leadership must make drastic reductions to bureaucracy