Germany’s Social Democrats, Greens and liberals have reached a deal on forming a new government, paving the way for finance minister Olaf Scholz to succeed Angela Merkel as leader of Europe’s largest economy.
The three parties will present their coalition agreement on Wednesday afternoon, the fruit of almost two months of intense negotiations following national elections on September 26 that were narrowly won by the Social Democrats.
The election marked a watershed in German politics. With Merkel quitting the stage after four terms as chancellor, her Christian Democrats slumped to their worst-ever result and were forced into opposition for the first time in 16 years and only the third time since the second world war.
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