The German parliament passed the law on Friday on the introduction of payment cards for asylum seekers – system that should limit cash aid payments and make the country less attractive to migrants, the AP news agency reported.
Chancellor Olaf Scholz and the governors of Germany's 16 states agreed to introduce the system in early November, but the ruling coalition took time until last weeks to agree on differences and details.
As a result, the bill was approved by an overwhelming majority in the lower house of parliament, the Bundestag.
It provides that asylum seekers will receive assistance on a card that can be will be used for payments in local stores and services.
They will only be able to withdraw a limited amount of cash and will not be able to transfer money outside of Germany.
This is done in order to prevent money from being sent to relatives and friends of migrants abroad or smugglers.
The adopted law gives local authorities discretion in deciding on exceptions and the amount of cash that asylum seekers can withdraw.
Attitudes towards migration in Germany has become more stringent after the arrival of large numbers of asylum seekers in addition to refugees from Ukraine, and German authorities are struggling to find housing for them.
The number of people applying for asylum in Germany rose to more than 350,000 last year , which is just over 50% compared to the year before.
The majority of asylum seekers came from Syria, followed by citizens of Turkey and Afghanistan.
Prepared by: Nina Petrovich