AfD leader Alice Weidel proposes exiting Eurozone and Schengen

Alice Weidel, leader of the Alternative for Germany (AfD), has stated that if the party takes power, she intends to withdraw Germany from both the Eurozone and the Schengen Agreement.

Leading economists have issued sharp warnings regarding these proposals. Marcel Fratzscher, president of the German Institute for Economic Research (DIW), characterized the demand to leave the Euro as a sign of “economic incompetence,” noting it could lead to mass unemployment and significant income losses, particularly in eastern Germany. He estimated a four-person family could face annual losses exceeding 6,000 euros.

Monika Schnitzer, chair of the German Council of Economic Experts, described the idea of returning to a national currency as “regressive” and “economically bad.” She warned that a new German currency would likely appreciate significantly, making German exports more expensive and damaging international competitiveness. Additionally, she noted that the uncertainty caused by a prolonged exit process could lead companies to delay investments or relocate capital.