German lawmakers reached an agreement on Friday to exempt some defense spending from the nation’s tight rules on running up debt as European leaders are scrambling to shore up the continent's defenses themselves in the face of a Trump administration that is threatening to back out.

The agreement between centrist parties, led by the likely next chancellor, Friedrich Merz, was billed as a response to America’s shrinking security guarantees.

German conservative leader Friedrich Merz reached an agreement with the Green party on a debt-funded spending package for defense and infrastructure, overcoming a key hurdle ahead of a crunch vote in parliament next week.

Germany’s election-winning center-right Christian Democratic Union/Christian Social Union, led by Friedrich Merz, and the Social Democrats have reached a preliminary agreement with the Green Party on a deal to exclude defense spending from the country’s constitutional debt break and establish a dedicated $545 billion fund for infrastructure investments.

Germany's likely next chancellor Friedrich Merz said Friday his conservatives had struck a deal with the Greens on massively boosting defence and infrastructure spending, paving the way for the plan's approval in parliament.