The development brings closure to the 4 month long political uncertainty which has weakened Germany’s economy and its role in international affairs.
On Wednesday, a source involved in the negotiations between German Chancellor Angela Merkel’s conservatives party and the Social Democrats (SPD) disclosed that both parties have hammered out a formal coalition deal.
Once a formal announcement is made, the agreement takes Germany a step closer to forming a new government after 4 months of political uncertainty which has weakened Germany’s role in international affairs.
The uncertain political grounds have also hurt its economy.
A deal will have to be formally approved by the SPD’s 464,000 members.
The SPD was part of Merkel’s coalition in 2013.