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#Germany: Merkel coalition talks break down with FDP walk out

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German Chancellor Angela Merkel has announced that her efforts to form a three-way coalition government have failed, raising the possibility of new elections.

The Free Democrats (FDP), who are thought to be particularly hostile to any movement towards EU proposals for greater eurozone co-operation, have said that immigration was the main sticking point in the negotiations.

In order to gain the support of the Greens, Merkel had to abandon a proposed cap on the number of asylum seekers that Germany accepts each year; this was rejected by the FDP.

The FDP’s Lindner said: “Today there was no progress but rather there were setbacks because specific compromises were questioned. It is better not to rule than to rule the wrong way.”

Merkel said she would stay on as acting chancellor and would consult with President Frank-Walter Steinmeier on how to move forward, adding that a deal had been within reach.

“It is a day of deep reflection on how to go forward in Germany,” Merkel told reporters. “As chancellor, I will do everything to ensure that this country is well managed in the difficult weeks to come.”

Merkel faced much criticism for her decision in 2015 to open Germany’s borders to more than a million asylum seekers. The decision is thought to have strengthened the far-right Alternative for Germany (AfD) party.

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