On Monday 20 November, the European Commission expressed its confidence in the German political parties’ ability to guarantee the stability of the country and resolve the current difficulties in forming a government.
Margaritis Schinas, the European Commission Spokesperson is confident that the German authorities will find a political solution and explained that Article 26 of the German Constitution provide a basis for political “stability and continuity in light of past lessons”.
Yesterday evening negotiations between the Christian Democrats (CDU/CSU), Liberals (FDP) and Greens (Die Grünen) broke down, after a month of discussions. The head of the Liberal Party, Christian Lindner, stated that it was better not to govern than to govern badly.
Negotiations stalled on a number of questions relating to a further deepening of the Eurozone, management of migration challenges in the context of a million migrants arriving in Germany since 2015, and environmental protection.
After a meeting with the German Chancellor, Angela Merkel, the German President, Frank-Walter Steinmeier, urged all the different parties to compromise on behalf of the general interest. He alluded to any possibility of organising new elections and stated, “The moment has come for all the different parties to pause and think again about their respective positions. All the parties elected to the Bundestag are committed to the general interest and I expect them all to be prepared for discussions”.
On Monday, the Social Democrats (SPD), the main losers in September’s general elections repeated their refusal to form a coalition government with the Christian Democrats.
The chancellor expressed a preference for a new election. “I don’t want to say never, but I am very skeptical, and believe that new elections would be the better way forward,” the chancellor told the public broadcaster ARD
The absence of a German government is complicating the European agenda. Ms Merkel promised to do everything to ensure that her country is well managed. It will be, however, difficult to ensure German’s engagement at a European level on sensitive and long-term dossiers. This could also be the case with the trade negotiations as part of Brexit and the deepening of the Eurozone.
Despite these difficulties, the Commission is keeping things moving ahead. According to the information we have received, nothing, at this stage, would indicate a change of timetable with regard to preparation of proposals, such as the elaboration of a stabilisation function for Eurozone countries confronting macro-economic difficulties (see EUROPE 11899).
The question of deepening the Eurozone is part of the European summit agenda this December but decisions are not expected before June 2018. (Original version in French by Mathieu Bion)