The new German government: Challenges and priorities

Friedrich Merz, the new German Chancellor, has come into office at a time of political uncertainty and economic stagnation. His coalition of CDU/CSU and SPD is a pragmatic one, but will it prove to be more stable than the “traffic light” coalition of Olaf Scholz, his predecessor? In the election of February 2025, the right wing extremist AfD doubled its share in the election – (how) will Merz manage to curb its growing influence? And with Germany’s once famously robust economy flatlining for more than three years, what reforms are necessary to lead Germany out of economic recession – and will the new government implement them? Lastly, will Germany’s path change with respect to Ukraine and the transatlantic relationship? These are the key questions the talk will focus on, aiming at a broad discussion of the incoming German government in the light of what is so far known about its priorities.