Merkel Closes in on Fourth Term With Her Familiar Coalition Ally

  • Chancellor returns to world stage with Davos speech this week
  • Coalition accord still subject to final vote of SPD members
S&P Global Ratings Chief Sovereign Ratings Officer Moritz Kraemer discusses the political landscape in Germany.(Source: Bloomberg)
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Chancellor Angela Merkel moved forward in her bid to form a fourth-term government after her prospective coalition partner agreed to shelve its misgivings and enter negotiations on a common policy platform for Germany.

Merkel, 63, welcomed the outcome of Sunday’s vote by Social Democratic Party delegates in Bonn following what she termed an “intensive and contentious” debate. The chancellor’s Christian Democrats and their Bavarian allies will coordinate on strategy Monday, allowing talks aimed at a resumption of the so-called grand coalition to begin as soon as Tuesday.