“Only five parties were able to enter parliament, thereby reducing the fragmentation of the Bundestag. A grand coalition with the SPD is possible. Negotiations should begin soon to establish a common roadmap. When they come to an end, changes are to be expected: a German government that takes more initiative in European affairs, more public investment, increased defence spending and, as a result, a German budget deficit and public debt that could increase. The return of the grand coalition. The CDU/CSU won the election with 28.5% of the vote, a result slightly below the polls. However, the limited number of parties that have crossed the 5% threshold allows for the formation of a majority grand coalition with the SPD. Although the AfD, which achieved an historical score of 20.8%, is now the second largest political force, Friedrich Merz has ruled out an alliance with this party. An alliance with the SPD is therefore the most likely scenario.”
Morten W. Langer