Sunday 24 November 2013

German parties head warily towards 'grand coalition' deal

 Angela Merkel's conservatives and the Social Democrats (SPD) head into a decisive week of German coalition talks on track to form a government but under fire from their own members for a series of policy compromises.

The chancellor's Christian Democratic Union (CDU) beat the SPD in an election two months ago, but failed to secure a parliamentary majority, forcing her into talks with her arch-rivals.
Negotiations have dragged on, leaving Merkel's outgoing centre-right coalition in charge but unable to move on urgent European policy decisions.
The parties are expected to overcome their remaining differences and divide up cabinets posts this week.
But complaints within the CDU about policy compromises have grown louder in recent weeks as the SPD has demanded and won concessions from Merkel on a minimum wage and other measures conservatives fear could hurt the economy.
Meanwhile, SPD leader Sigmar Gabriel faces a major challenge in convincing the grassroots of his party to back a coalition deal that may not contain the big public spending boost they had called for in the German election campaign.
Source: Reuters

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