A government proposal was announced that would alter German law, allowing for the gradual reduction of nuclear energy sources. However, the plan was postponed indefinitely on Jan. 25.
Left-wing German finance minister and SPD leader Oskar Lafontaine resigned after several months of political struggle against Schroeder and several government-backed German business leaders. Lafontaine was replaced by Hans Eichel.
Germany contributed 8,500 soldiers to the NATO security force (KFOR) that entered Kosovo to maintain peace in the region. Prior to the 1998 NATO involvement in Yugoslavia, Germany had not participated in an armed conflict since World War II.
In a huge political scandal, former chancellor Kohl admitted that during his last five years in office he had accepted more than $1 million in political donations from unidentified sources. Kohl also admitted to violating German campaign finance laws by depositing the illegal contributions into secret bank accounts. Investigations of the scheme subsequently broadened to focus on activities of other prominent members of the CDU from 1982 to 1998.