Merkel set to become Germany’s first woman chancellor
BERLIN, Oct 10: Conservative Angela Merkel will become Germany’s first woman chancellor under a deal agreed on Monday that forces Gerhard Schroeder out of power, but gives his party great influence over the pace of economic reform.
The coalition deal breaks a political deadlock that has gripped the country since Germans gave Ms Merkel’s conservatives a narrow victory in a Sept 18 election, but too few votes to form a government with her reform-minded liberal allies.
Ms Merkel, a strong advocate of shaking up the German economy with reforms of the labour market and tax system, will take the reins of a government loaded with Social Democrat (SPD) rivals that oppose her policies and will be keen to curtail her plans.
As part of the agreement, the SPD secured many top portfolios, including the foreign, finance, justice and labour ministries, party officials told Reuters.
Ms Merkel’s Christian Democrats (CDU) and their Christian Social Union (CSU) allies were left with the economy, interior and defence portfolios. Apart from CSU chief Edmund Stoiber, who is taking over as economy and technology minister, the names of the ministers will not become known for days or weeks.
“There’s no doubt we will see a watering down of Ms Merkel’s programme,” said Katinka Barysch, chief economist at the London-based Centre for European Reform. “When you look at the breakdown of the cabinet, it is clear that she will need a lot of skills to keep this government together.”
LINGERING HOSTILITIES: The deal sets the stage for Germany’s second “grand coalition” since World War Two — a grouping which some experts fear could collapse after a few years and increase the voice of smaller fringe parties.
German media have likened Ms Merkel to former British prime minister Margaret Thatcher, calling her the ‘Iron Maedchen’ and ‘Maggie Merkel’.
“I am happy but I know that a lot of hard work lies ahead of us,” a content but restrained Merkel, told reporters.
The rival parties will begin talks this week and hope to finalize the shape of a new government by Nov 12.
Mr Schroeder, 61, who had initially refused to relinquish his hold on the chancellery, will take part in those talks, although he is not expected to play a role in the new government.
He did not appear publicly on Monday, but was seen rubbing his eyes and looking out the windows of the Chancellery, which he will leave after seven years in power.—Reuters
BERLIN, Oct 10: Conservative Angela Merkel will become Germany’s first woman chancellor under a deal agreed on Monday that forces Gerhard Schroeder out of power, but gives his party great influence over the pace of economic reform.
