Angela Merkel looked set to hold onto power after a breakthrough in coalition talks today following a marathon 24-hour negotiating session.
Initial reports said the German chancellor had forged an alliance between her conservative Christian Democrats (CDU) and the centre-Left Social Democrats (SPD) — ending months of political limbo and staving off the prospect of a new general election.
But the coalition will still have to be approved by the titans of both parties. The SPD will vote on any final deal at a party congress set for January 21.
If the broad outline for a “grand coalition” government is approved, more political horse-trading will ensue to decide who gets what ministry.
Business publication Handelsblatt reported: “The last exploratory round of talks took more than 24 hours, but now an end is on the way. The party leaders have apparently agreed on contentious issues in financial and refugee policy.”
The talks were held at Willy Brandt House in Berlin, the SPD party HQ. By dawn both sides were still haggling over the details of power sharing. “It is progressing in mini-steps but is still tough,” said Bild newspaper’s website.
Mrs Merkel’s allies in Bavaria, the Christian Social Union, were said to be talking the toughest through the night and holding up a final agreement.
“The CSU is holding up everything,” said one SPD negotiator. “Otherwise we would have had a deal sooner.”
The SPD ruled in coalition with Mrs Merkel for the past four years but was heavily punished by voters in last autumn’s poll, causing party leader Martin Schulz to declare it would serve the public better to be in opposition.
But when the chancellor was unable to form a new administration with the business-friendly FDP party and the Greens, the biggest economy in Europe was put on hold and political decision making deadlocked.
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Given Germany’s importance on the continent — and the world stage — Mr Schulz was persuaded to enter talks for the good of the country.
The stakes for the latest talks were high given the changing political landscape in Germany.
The election in September saw the far-Right Alternative for Germany (AfD) become the country’s third largest party and enter the German parliament for the first time.
The latest talks — the sixth round — were conducted by party and group bosses who have drafted a 30-page document for party leaders to digest.
