Economic Overhaul: Germany’s Merz-led coalition has agreed a sweeping reform package to “fix Germany,” including about €10bn in income tax relief, pension changes with a new investment element and gradual retirement-age rises, and major labor rules—workers can’t get sick notes by phone and must provide medical certificates from day one. Nord Stream Case: German prosecutors indicted a former Ukrainian officer over the 2022 Nord Stream pipeline blasts, alleging sabotage aimed at stopping gas supplies and harming Russia’s war funding. Health & Work Rules: The sick-leave crackdown is already sparking backlash, with unions warning it could hit employees hardest. Far-Right Politics: AfD is buoyant ahead of its convention, betting on public frustration with the reform drive and aiming for major gains in eastern state elections. Climate Stress: Europe’s extreme summer heat is worsening health risks and straining infrastructure, with scientists warning these conditions may become more common. Housing Pressure: Rents in Germany’s biggest cities have surged over the past decade, fueling renewed calls for stronger rent controls and more social housing. Society & Safety: A deadly shooting at a youth welfare center in northern Germany left multiple people dead, with suspects arrested.