Germany’s Reform Push: Chancellor Friedrich Merz’s coalition has agreed a 34-point “programme for revival and jobs,” including €10bn in annual income tax relief, pension changes, and a major labour overhaul that ends phone sick notes and requires doctor certificates from day one. Sick Leave Crackdown: The new rules also aim to give firms more flexibility on fixed-term contracts and dismissals, as the government tries to revive competitiveness and curb “extraordinarily high” absence rates. Trade With China: Germany signals a tougher stance on unfair trade, promising faster EU-wide anti-dumping and anti-subsidy action and tighter prevention of circumvention. Nord Stream Case: German prosecutors have indicted a former Ukrainian officer over alleged sabotage of the Nord Stream pipelines, framing it as an attack on civilian facilities. Security and Defence: Defence Minister Boris Pistorius played down tensions with Trump as “no marriage crisis,” while Germany pushes further NATO readiness. Heat and Health: With extreme heat hitting Europe, scientists warn adaptation is hard and health systems face mounting strain. Housing Pressure: Rents in Germany’s 40 biggest cities are up sharply over a decade, renewing calls for stronger housing policy. Politics Watch: The far-right AfD is upbeat ahead of regional elections, banking on dissatisfaction with the reform agenda.