Germany agrees EUR 200 bln package to offset surging energy prices - Reuters

This was reported by the Reuters agency with reference to Scholz's statement.

"Prices have to come down, so the government will do everything possible. To that end, we are creating a big defensive shield," Scholz said, describing the package of measures.

Under the plans, which will be funded by new loans, the government will introduce emergency gas and electricity price cuts and scrap a previously planned gas charge for consumers.

Nuclear power plants in southern Germany, which were previously scheduled to close by the end of this year, will be able to operate until the spring of 2023.

This year, Berlin suspended a limit on new debt of 0.35% of gross domestic product. Finance Minister Christian Lindner said on Thursday that Germany would finance the aid package by taking out new loans. He added that the state finances of the country are stable.

"We cannot put it any other way: we are in a state of energy war. We want to clearly separate anti-crisis spending from managing our regular budget. We want to send a very clear signal to the capital markets," Lindner said.