Merz Pushes for Coalition Deal, Tougher Migration Rules Amid Economic Reforms

Germany’s election winner, Friedrich Merz, is pushing to form a coalition government by Easter, aiming for economic growth and stricter migration policies. The CDU/CSU and SPD have wrapped up preliminary talks, focusing on border security, industry support, and military spending.

Merz warned that Europe must prepare to defend itself against a hostile Russia, as the U.S. under Donald Trump is no longer a reliable ally. The parties are rushing to secure a deal before next week to ease Germany’s borrowing limits, boost economic growth, and increase military funding.

Merz has promised aggressive measures against illegal migration, pledging to expand border controls and increase rejections at Germany’s borders in coordination with EU neighbors. The tougher stance reflects rising support for the far-right Alternative for Germany (AfD). SPD co-leader Lars Klingbeil emphasized the need for migration success stories while addressing illegal immigration.

Bavarian leader Markus Soeder backed welfare reforms, stating that benefits should be withdrawn from those unwilling to work. With Germany’s economy contracting for two years, the coalition aims for 1%-2% growth, lower energy costs, and support for e-mobility while shielding automakers from CO2 penalties.

A key focus is a 500-billion-euro infrastructure fund and adjustments to Germany’s debt brake, set for debate on March 13 and a Bundestag vote on March 18. The Greens’ backing is crucial for passing the measures, but party leaders have voiced concerns, saying they remain "far from agreeing."

The coalition talks mark a major shift in Germany’s economic and migration policies, with potential hurdles from far-right and radical left lawmakers in the incoming parliament on March 25.