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Merkel in Germany coalition talks Merkel pledges speedy transition
(about 1 hour later)
German Chancellor Angela Merkel is to hold coalition talks with the pro-business Free Democrats (FDP) after a sweeping win in Sunday's election. Germany Chancellor Angela Merkel has outlined plans to form a swift coalition with the Free Democrats (FDP) after a major win in Sunday's election.
The priority of her second term would be to return Europe's largest economy to prosperity, Mrs Merkel said. Speaking in Berlin, a smiling Mrs Merkel expressed a "high degree of contentment" with the results.
She said a coalition between the FDP and her centre-right CDU/CSU bloc, which should be formed within a month, offered the best chance for recovery. She said a coalition between the pro-business FDP and her centre-right CDU/CSU bloc would have the momentum to tackle Germany's challenges.
Germany has been enduring its most severe recession since World War II.Germany has been enduring its most severe recession since World War II.
While business confidence has improved and the economy has returned to growth, output is still set to be down by around five percent this year, and the country's unemployment level and budget deficit are rising. While business confidence has improved and the economy has returned to growth, output is still set to be down by around 5% this year, and the country's unemployment level and budget deficit are rising.
The chancellor said she would hold "swift and decisive" talks with FDP leader Guido Westerwelle, tipped by some to be Germany's next foreign minister after his party achieved its best-ever election result.The chancellor said she would hold "swift and decisive" talks with FDP leader Guido Westerwelle, tipped by some to be Germany's next foreign minister after his party achieved its best-ever election result.
Mrs Merkel said she would be contacting Mr Westerwelle to set up negotiations on a coalition that would take shape up "in the coming days and weeks".
"We want to do that quickly; of course quality comes before speed, but I think Germany is entitled to have a new government quickly," she said. "We have many tasks ahead of us."
Mrs Merkel has said the priority of her second term would be to return Europe's largest economy to prosperity.
"The tasks for the future are very clear to see," she said. "We need to have a clear mandate and clear responsibilities between the two parties."
Ronald Pofalla, the CDU's general secretary, said: "Coalition talks should start as soon as possible... and it is our goal to have a coalition deal in a month at the latest."Ronald Pofalla, the CDU's general secretary, said: "Coalition talks should start as soon as possible... and it is our goal to have a coalition deal in a month at the latest."
Mrs Merkel's previous coalition partners, the centre-left Social Democrats (SPD), suffered their worst election performance since 1949. Mrs Merkel's previous coalition partners, the centre-left Social Democrats (SPD), suffered their worst election performance since WWII.
'Hard job ahead''Hard job ahead'
In her victory speech, Mrs Merkel said she wanted to be a chancellor of all Germans at a moment of crisis and that protecting and creating jobs would be her "highest aim". In her victory speech on Sunday night, Mrs Merkel said she wanted to be a chancellor of all Germans at a moment of crisis and that protecting and creating jobs would be her "highest aim".
ANALYSIS Jonny Dymond BBC News, Berlin HEWITT ON EUROPE Merkel is likely to find the political climate harsher despite her victory. Old politics has returned class="" href="http://www.bbc.co.uk/blogs/thereporters/gavinhewitt/2009/09/the_merkel_enigma.html">Read Gavin Hewitt's thoughts in full
There are some long days of talks to come, but the shape of Germany's new government is clear.
Angela Merkel can dump the centre-left Social Democrats she has uncomfortably cohabited with for four years and instead invite the pro-business Free Democrats to join her as a junior partner.
Together they will have a comfortable majority in parliament. Ms Merkel described the result as amazing.
Her opposite number, Social Democrat Frank Walter Steinmayer, had a terrible night. It was he said, a "bitter defeat".
She added: "We can really celebrate tonight, but afterwards we have a hard job ahead of us."She added: "We can really celebrate tonight, but afterwards we have a hard job ahead of us."
With the CDU/CSU winning 33% of the vote and the Free Democrats (FDP) capturing 14.6%, according to preliminary official results, the two parties have enough seats to ensure a majority in parliament, analysts say.With the CDU/CSU winning 33% of the vote and the Free Democrats (FDP) capturing 14.6%, according to preliminary official results, the two parties have enough seats to ensure a majority in parliament, analysts say.
The Social Democrat SPD won 23% of votes, while the Left party took 11.9% and the Greens 10.7%.The Social Democrat SPD won 23% of votes, while the Left party took 11.9% and the Greens 10.7%.
In Germany - Europe's largest economy and the biggest member of the European Union - a parliamentary majority can be secured with the support of less than 50% if the parties in question have more support than the other leading parties combined.In Germany - Europe's largest economy and the biggest member of the European Union - a parliamentary majority can be secured with the support of less than 50% if the parties in question have more support than the other leading parties combined.
'Vigilant in opposition''Vigilant in opposition'
Financial markets and business leaders hailed Sunday's election result, but the ensuing coalition talks are likely to be tough, says the BBC's European affairs correspondent Oana Lungescu in Berlin.Financial markets and business leaders hailed Sunday's election result, but the ensuing coalition talks are likely to be tough, says the BBC's European affairs correspondent Oana Lungescu in Berlin.
ANALYSIS Jonny Dymond BBC News, Berlin
There are some long days of talks to come, but the shape of Germany's new government is clear.
Angela Merkel can dump the centre-left Social Democrats she has uncomfortably cohabited with for four years and instead invite the pro-business Free Democrats to join her as a junior partner.
Together they will have a comfortable majority in parliament. Ms Merkel described the result as amazing.
Her opposite number, Social Democrat Frank-Walter Steinmeier, had a terrible night. It was he said, a "bitter defeat".
Mrs Merkel wants to focus on fighting unemployment, amid fears that Germany is heading for a winter of discontent.Mrs Merkel wants to focus on fighting unemployment, amid fears that Germany is heading for a winter of discontent.
HEWITT ON EUROPE Now Merkel has the opportunity to reveal where her true instincts lie Read Gavin Hewitt's thoughts in full
Mr Pofalla said his party was committed to implementing its election promise of tax cuts.Mr Pofalla said his party was committed to implementing its election promise of tax cuts.
"We want tax cuts in two steps in the next legislative period which will result in relief of 15bn euros (£13.8bn; $22.03 billion)," he said."We want tax cuts in two steps in the next legislative period which will result in relief of 15bn euros (£13.8bn; $22.03 billion)," he said.
But with public debt soaring that promise will be hard to keep, our correspondent says.But with public debt soaring that promise will be hard to keep, our correspondent says.
Although they would be the junior partners in a coalition, the FDP are likely to push for bold reforms and quick tax cuts to revive the economy, our correspondent says - pushing for a total reduction of 35bn euros and a simplification of Germany's tax system.Although they would be the junior partners in a coalition, the FDP are likely to push for bold reforms and quick tax cuts to revive the economy, our correspondent says - pushing for a total reduction of 35bn euros and a simplification of Germany's tax system.
Mr Westerwelle said the new government would act "responsibly".Mr Westerwelle said the new government would act "responsibly".
"Now the work starts for real... for Germany and our people," he said."Now the work starts for real... for Germany and our people," he said.
'Go on fighting''Go on fighting'
Sunday's results mean the SPD, which has been the junior partner in the "grand coalition" for the past four years, will be ejected from government.Sunday's results mean the SPD, which has been the junior partner in the "grand coalition" for the past four years, will be ejected from government.
SPD leader Frank-Walter Steinmeier said his party would be "vigilant in opposition".SPD leader Frank-Walter Steinmeier said his party would be "vigilant in opposition".
And he added that it "would not be very sensible" to resign, vowing "to go on fighting".And he added that it "would not be very sensible" to resign, vowing "to go on fighting".
Several world leaders have congratulated Mrs Merkel on her victory.Several world leaders have congratulated Mrs Merkel on her victory.
US President Barack Obama told her that under a "strong German government" ties between the two countries would "further strengthen and deepen", the White House said.US President Barack Obama told her that under a "strong German government" ties between the two countries would "further strengthen and deepen", the White House said.