German coalition talks deal early blow to Macron on Europe


  • World
  • Wednesday, 25 Oct 2017

Leader of the German Green Party Cem Ozdemir leaves the venue after the second day of the exploratory talks with CDU/CSU about forming a new coalition government in Berlin, Germany, October 19, 2017. REUTERS/Axel Schmidt

BERLIN (Reuters) - German parties exploring a coalition government have dealt an early blow to French President Emmanuel Macron's hopes for more expansive fiscal policies from Berlin, backing a balanced budget and rejecting the idea of a separate pot of cash for the euro zone.

The Greens, seen as closest to Macron on economic policy and Europe, appeared to have caved in to demands by Chancellor Angela Merkel's conservatives and the Free Democrats (FDP) that a new government continue down a path of fiscal discipline.

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