German conservatives willing to enter coalition talks with SPD

German conservatives willing to enter coalition talks with SPD

Merkel's party stressed however that was it was seeking is a renewal of its alliance with the SPD, to form a "stable government" for Europe's biggest economy.

After suffering its worst ever general election result, the SPD declared it would not reprise its role as junior partner to Merkel and wanted instead to rebuild in opposition.

Merkel is casting around for a coalition partner after her center-right bloc shed support to the far right in a September 24 election and her attempts to form a three-way tie-up with the pro-business Free Democrats (FDP) and the Greens failed.

He added that whoever circulated such reports was damaging trust.

Schulz, Merkel and her Bavarian ally Horst Seehofer agreed to meet at Germany's presidential palace to explore the possibility of forming a so-called grand coalition like the one that makes up the outgoing government. "That's exactly what I will propose the party leadership on Monday", he said.

The SPD's top brass will then present their recommendation to party rank and file during their congress from Thursday.

Commenting on the SDP's possible coalition with the Conservatives, Schulz has stated that it is not "automatic", adding that the party would discuss alternatives at a meeting next week.

"The decisive question is what do we want to implement, what can we implement - for example in the renewal of the European Union", Schulz said.

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In particular, he said he would demand German support for Emmanuel Macron's proposals for a Brussels-based finance minister and single budget for the Eurozone.

The meeting of the SPD's rank and file next Thursday will be a key date as Germany anxiously awaits signs of its next government.

The SPD will hold a party congress in Berlin on December 7-9, where it is expected to debate its options.

Earlier on Friday, SPD politicians said they would not be rushed into joining a new grand coalition.

If Merkel can't put together a coalition, the only options would be a minority government or a new election.

But that is something that Merkel is hoping to avoid.

"We have a lot of options for building a government".

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