Germany’s Merz unveils coalition deal with SPD after weeks of drift

German conservatives under Friedrich Merz have clinched a coalition deal with the centre-left Social Democrats (SPD), aiming to revive growth in Europe’s largest economy just as a global trade war threatens recession. The deal on Wednesday caps weeks of haggling between Chancellor-in-waiting Merz and the SPD after he topped elections in February, but fell well short of a majority, with the far-right Alternative for Germany surging into second place.

Al Jazeera's Dominic Kane reports.

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