Germany: Germany Chancellor Angela Merkel’s CDU/ CSU conservative party narrowly lose elections in the country after 16 years. Social Democrats narrowly won Sunday’s national election projected results showed and claimed a clear mandate to lead a Government for the first time since 2005 and to end 16 years of conservative led rule under Angela Merkel.

The centre left Social Democrats (SPD) were on track for 26.0% of the vote, ahead of 24.5% for Merkel’s CDU/CSU conservative party but both groups believed they could lead the next government. Neither major party commanding a majority, and both reluctant to repeat their awkward grand coalition of the past four years, the most likely outcome is a three way alliance led by either the Social Democrats or Merkel’s Conservatives.

Agreeing a new coalition could take months, and will likely involve the smaller Greens and liberal Free Democrats (FDP). Social Democrats’ Chancellor Candidate Olaf Scholz, said in a round table discussion with other candidates said we are ahead in all the surveys now after the vote. It is an encouraging message and a clear mandate to make sure that we get a good, pragmatic Government for Germany, he added after earlier addressing jubilant SPD supporters.

Attention will now shift to informal discussions followed by more formal coalition negotiation, which could take months, leaving Merkel in charge in a caretaker role. Scholz and Laschet both said they would aim to strike a coalition deal before Christmas.