Merkel’s conservatives and SPD reach coalition deal

Feb 07, 2018, 6:33 AM EST
German Chancellor Angela Merkel’s looks set for another term.
(Source: European People's Party/flickr)

German Chancellor Angela Merkel’s Conservatives and center-left Social Democrats (SPD) have reached a coalition deal “in principle,” a development that seems to end the four-month long political stalemate eroding the country’s international clout.

As part of the agreement, SPD could get hold of key ministries, including finance, foreign and labor, which could have a significant impact on the rest of Europe, writes the BBC.

The SPD, which initially vowed to stay away from the “grand alliance,” took a U-turn as it began negotiation with Merkel’s party after inconclusive elections, notes Reuters.