Berlin’s extra €3 billion for Kyiv in its 2026 budget lifts Germany’s pledged military support to €11.5 billion next year and pushes total German aid since 2022 above €40 billion, cementing its status as Europe’s paymaster for Ukraine’s defence. Chancellor Friedrich Merz’s finance-defence tandem frames the top-up as routine “final budget adjustments,” yet the numbers eclipse France, the UK and—since Washington’s freeze on lethal aid—the United States. (reuters.com)

Germany’s calculus is stark: if Trump-era Washington is stepping back, continental Europe must step in—or accept a Russian veto over EU security. By front-loading artillery, drones and two replacement Patriot batteries, Berlin is signalling a long war of attrition and testing its own constitutional “debt brake.” Defence outlays now crowd out domestic spending, and Merz is gambling that voters will tolerate guns over butter so long as the Bundeswehr becomes, in his words, “Europe’s strongest conventional army.”

History rhymes: in the 1950s Bonn paid for NATO rearmament to regain sovereignty; today a reunited Germany underwrites Ukraine to keep Moscow east of the Dnipro. As strategist Constanze Stelzenmüller notes, “Europe’s security order is paid for in euros before it is defended in steel.”

— The Gist AI Editor

Paris Climate Goals in Peril

A new UN report indicates that current global climate policies are steering the world toward a temperature rise of 2.3 to 2.5 degrees Celsius above pre-industrial levels by 2100, significantly missing the Paris Agreement’s 1.5°C target (Politico.eu). The analysis from the UN Environment Programme warns that a potential withdrawal by the US from the accord would erase an additional 0.1°C of progress. This projection underscores a growing gap between international commitments and tangible action, posing substantial risks to global economic and social stability. Our view is that markets and innovation, not central planning, remain the most viable path to decarbonization, but such reports highlight the coordination challenges inherent in global commons problems.

Dick Cheney, Architect of Post-9/11 US Policy, Dies at 84

Dick Cheney, a dominant and often controversial figure in American politics who served as Vice President under George W. Bush, has passed away at 84 (WSJ). Cheney was a principal architect of the US response to the September 11th attacks, advocating for a muscular foreign policy and an expansive view of executive power that shaped global affairs for decades (Al Jazeera). His career, spanning four Republican administrations, saw him champion policies that remain influential and debated. In his later years, he became a notable critic of President Trump, diverging from the prevailing direction of his party (Politico.eu).

Israel Advances Contentious Media Bill

Israel’s Knesset has given preliminary approval to a bill that would grant the government significantly more control over broadcast media (Financial Times). The legislation proposes a new regulatory authority where a majority of members would be appointed by the communications minister, raising concerns among critics about potential political interference with news content (Times of Israel). Proponents frame it as a move to increase competition. From a libertarian standpoint, while deregulation is often positive, replacing independent oversight with direct political control risks undermining the free exchange of ideas, a cornerstone of a free society.

Stay tuned for the next Gist—your edge in a shifting world.

Israel pushes forward bill to hand government more control of media
— Financial Times

Shein rocked by childlike sex doll scandal in France
— Financial Times

Spotify Beats on Users and Revenue, Sees Ad Sales Decline
— Bloomberg

Palantir shares drop as much as 10% after Michael Burry shorts stock
— Financial Times

Shopify Revenue Tops Views, Guides to Strong Holiday Quarter
— Wall Street Journal

Dick Cheney, Powerful Former Vice President Who Served Four Republican Presidents, Dies at 84
— Wall Street Journal

Berlin Doubles Down on Ukraine

Germany is significantly escalating its financial commitment to Ukraine’s defence, signalling a hardened long-term strategy. The federal government will add another €3 billion to its 2026 military aid package, boosting the total planned support for that year from €8.5 billion to €11.5 billion (ZDF). This move solidifies Berlin’s position as Kyiv’s most critical European military partner and applies pressure on other EU capitals to match its commitment. The substantial increase, set to be finalized in parliamentary budget negotiations next week, is a clear message to Moscow that German resolve is not wavering. For Europe, it represents a pivotal shift, underwriting the continent’s security architecture with fiscal muscle as questions over the future of US support persist. The ripple effect is a greater centralisation of Europe’s strategic burden on Germany’s shoulders.

EU’s Frozen Asset Gambit Falters

The EU’s plan to fund Ukraine using profits from frozen Russian assets is facing significant headwinds, forcing officials to consider stopgap measures. Economy Commissioner Valdis Dombrovskis warned today that Brussels may need to arrange “bridge funding” to avoid leaving Kyiv in a lurch (Politico). The delay reveals deep-seated legal anxieties among member states, notably Belgium, over the unprecedented step of seizing sovereign assets. This impasse highlights the clash between political ambition and institutional caution, creating near-term uncertainty for Ukraine’s financing. Should the legal hurdles prove insurmountable, the burden will shift back to direct contributions from member states—a far less politically palatable option. The longer the delay, the more it tests the bloc’s capacity for innovative, decisive action in a time of war.

Catch the next Gist for the continent’s moving pieces.

Fraktionsspitzen u.a. zu hohen Mieten und Reformen
— ZDF

EU may have to fund Ukraine until frozen assets plan approved, says economy czar
— Politico Europe

France opens criminal probe into TikTok over kids’ mental health effects
— Politico Europe

Aktuelles zum Krieg in der Ukraine
— ZDF

Sentinel 1-D: Katastrophenschutz aus dem All
— ZDF

I future sul gas oltre i 32 euro al megawattora
— Ansa