German borrowing costs hit 15-year high
Germany links its rising borrowing costs to increased security challenges following Russia's invasion of Ukraine. Berlin plans to borrow €838.2 billion between 2027 and 2030 to fund defence and infrastructure.
Germany's borrowing costs climbed to a 15-year high on Wednesday, driven by defense spending and security overhauls following Russia's invasion of Ukraine. That surge mirrors rising yields in the United States and Japan amid expanding sovereign debt and geopolitical strain. Higher yields tighten financial conditions globally, threatening economic growth and increasing corporate funding expenses.
