BERLIN, Nov. 7 (Xinhua) -- German Chancellor Olaf Scholz announced on Wednesday evening that he had asked President Frank-Walter Steinmeier to dismiss Federal Minister of Finance Christian Lindner.

The announcement followed a meeting of the coalition committee in Berlin.

"I feel compelled to take this step in order to prevent damage to the country," Scholz said at a press conference, stressing the need for a functional government to make decisions for Germany.

Last week, an 18-page document signed by the federal minister of finance was leaked to the media. The document proposed measures including reduced climate regulations and welfare benefits, which run counter to the policies advocated by Scholz and Economy Minister Robert Habeck.

The leaked document has exacerbated tensions among the Social Democratic Party (SPD), the Greens, and the Free Democratic Party (FDP). The three ruling parties have been struggling to finalize next year's budget, which has huge holes that need to be plugged ahead of a mid-November deadline.

Over the past few days, Scholz, Habeck, and Lindner have engaged in discussions to guide the government through its remaining tenure, despite their increasing disagreements.

According to German newspaper Bild, Lindner proposed putting an end to the current federal government and moving elections to early 2025, ahead of the scheduled date of Sept. 28, 2025 -- a proposal Scholz declined.

German news agency dpa, quoting attendees of Wednesday evening's meeting, reported that Lindner said that there is not enough common ground on economic and financial policies, and a swift return to stability and capacity to act is in the national interest.

Germany's economy is projected to experience a contraction in 2024, marking the possibility of a second consecutive year of economic decline. Meanwhile, the support ratings for the three governing parties have declined substantially compared to their high approval levels in 2021 and 2022.

Addressing the press on Wednesday evening, Lindner emphasized his opposition to Scholz's call for suspending the debt brake, a fiscal restraint mandated by Germany's Basic Law. "I could not agree to this, as it would have violated my oath of office," he stated.

Following Lindner's departure, all other FDP ministers, including Federal Minister for Digital and Transport Volker Wissing and Federal Minister of Justice Marco Buschmann, also exited the government, effectively dissolving the "traffic light" coalition.

Scholz has announced plans to seek a vote of confidence in the Bundestag next year, with a vote scheduled for Jan. 15, 2025.

The upcoming vote of confidence on Scholz's chancellorship is set to determine the future of the current federal government. Should it fail, Steinmeier may dissolve the Bundestag, paving the way for parliamentary elections to be held in March 2025, six months ahead of schedule. Enditem

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