German cabinet to vote on biggest donation

The German government is expected today to approve the payment of up to €500m (about £350m) of aid for the regions devastated by the tsunami disaster, a figure which would make it the largest donor so far.

Government officials said Chancellor Gerhard Schröder would propose the payment at a special cabinet meeting today, in a big increase from the €20m in immediate assistance Germany made available last week. So far Japan has pledged £262m and the US just over £180m.

Mr Schröder said the government would "make clear that we want to get involved in the long -term" at today's cabinet meeting. He added that reports that Germany would raise its aid pledge to €500m as "not completely incorrect".

He was a little upstaged by German racing driver Michael Schumacher, the Formula One world champion, who is to donate $10m (£5.3m).

The disaster has shocked Germany, which has well over 1,000 holidaymakers still missing in the area, more than any other foreign country apart from Sweden. Some 60 Germans have been confirmed dead so far, 46 in Thailand and 14 in Sri Lanka. Germans spend more money on travel abroad than any other nation, and some 403,000 Germans visited Thailand in 2004.

Pressure is mounting on Berlin to follow the British government in publishing an estimate of how many of those missing are likely to be dead. "Please tell us the truth," read one Berlin tabloid headline.

Providing €500m would put additional strain on Germany's budget, which is widely expected to break EU deficit limits for a fourth consecutive year in 2005. Germany's private donations have reached €70m, trailing Britain but rising rapidly. The government has sent a hospital ship with Sea King helicopters, two operating theatres and 145 hospital beds to Sumatra. The army is erecting a field hospital with 29 doctors in Aceh province. Engineers are also preparing to build a water treatment plant in Sumatra.

A German military hospital Airbus carrying 42 injured tourists, including five Britons and three Dutch people, arrived at Cologne yesterday from Bangkok.

Some 7,000 Germans have been flown home but criticism is growing of Germans who are insisting on continuing their vacations in the region. Bild newspaper published a photo of two holidaymakers sunning themselves on the beach at Phuket in front of destroyed beach huts being cleared away, and quoted several who refused to break off their vacation.

"There's no holiday mood around here with all the noise and panic," said one German on Phuket, who complained that the beach had not been cleared up. "They've got sun loungers still hanging in the trees. I don't think that's acceptable."

Tobias Juengert, spokesman for the German association of travel agents and tour operators, said holidaymakers should continue to travel to south-east Asia because the region needed the money. "But we agree with the foreign ministry in advising people not to travel to the regions directly affected," he added.