Merkel's 3 options now that coalition talks have collapsed
Earlier posts here: Merkel will inform German President she has failed to form coalition government
- EUR/USD update - lower after German coalition talks break down
- FDP walks out of Germany coalition talks (this was the first breaking item early on Monday Asia time)
This via the Financial Times now:
Unless Ms Merkel can entice the FDP back to the table in the days ahead, Germany's veteran chancellor is left with only three options:
- she can either try to renew her coalition deal with the centre-left Social Democrats, an option the SPD has ruled out repeatedly,
- or govern at the helm of a minority government.
- A third option would be to force a new election.
I've pointed these out earlier, and reckon that Merkel heading off to see the President on Monday is indicative of her advice will be to call a new election ... again IMO.
But for more, FT piece is here: German coalition talks collapse as FDP pulls out
May be gated.