German Coalition Talks Face Strains on Split Over Money

  • Greens urge debt relief for EU partners and risk FDP red line
  • Exploratory talks are set for sessions on Monday and Tuesday

Olaf Scholz

Photographer: Liesa Johannssen-Koppitz/Bloomberg
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Olaf Scholz’s bid to succeed Angela Merkel as German chancellor is set for a critical test as the two potential junior partners sparred over fiscal policy ahead of a series of coalition talks this week.

In a sign of the challenges ahead, Greens co-leader Robert Habeck urged debt relief for pandemic-hit European Union partners, while Volker Wissing, general secretary for the business-friendly Free Democrats, reaffirmed the party’s red lines of no tax increases and sticking to constitutional debt limits.