German Chancellor Angela Merkel addresses parliament on the 2016 budget. As David Pollard reports, the migrants crisis is also top of her agenda.
They come in their thousands. Eight hundred and fifty thousand alone expected to cross the Mediterranean to Europe this year and next. Thousands more over land. The dream destination for many is no surprise. Though with Germany already expected to take in around 800,000 refugees this year, it wants to share the burden around the euro zone. And there's a red line about who it wants to take. (SOUNDBITE) (German) GERMAN CHANCELLOR, ANGELA MERKEL, SAYING: "Those who are not fleeing political persecution or war but are coming to us out of economic need will not be able to stay in Germany, as difficult as their personal lives may be." Economic reform, Chancellor Merkel told parliament, is helping the euro zone economy to recovery. Germany, though, is the undisputed powerhouse. Export growth at its strongest in over two decades. And at 25 billion euros in July, it has a trade surplus others would weep for. That said, it needs new blood. Jeremy Cook is chief economist at World First. SOUNDBITE (English) JEREMY COOK, CHIEF ECONOMIST, WORLD FIRST, SAYING: ''We're seeing that over the course of the next 10 or 15 years the amount of people of working age who will be able to contribute to people taking state pensions within Germany is going to fall, so there's going have to be more taxpayers coming into Germany.'' Jean-Claude Juncker also took a turn to address the migrant crisis. The European Commission president wants Europe to agree on sharing out 160,000 refugees this year. That plea's expected to fall on deaf ears in many eastern European countries and lead to more wrangling. But his call for more unity in the EU was applauded at the European parliament. If not by its euro sceptics.