Germany: Baby steps toward grand coalition

BERLIN, Oct. 5 (UPI) -- Germany's two main parties ended Wednesday exploratory coalition talks without agreeing on who will become the country's next chancellor.

Both parties agreed, however, to meet in a so-called "summit of leaders," where -- among other questions -- the issue of who will head the grand coalition of Social Democrats and Christian Democrats/Christian Socialists will be discussed. The meeting is expected as early as Thursday evening. The summit is expected to be the final hurdle before formal coalition negotiations can begin.

Chancellor candidate Angela Merkel of the Christian Democrats said after the two-and-half hour-long talks that there was much common ground on key policy questions. The conservatives, however, still want the SPD to accept Merkel's leadership claim before formal coalition talks can begin.

The summit will include Chancellor Gerhard Schroeder and party head Franz Muentefering for the SPD, and Merkel and her ally in Bavaria, Edmund Stoiber for the conservatives.

"The basis for a grand coalition is there," Chancellor Gerhard Schroeder said. Both parties said their goal is to form a grand coalition that is stable and lasts for four years.

Merkel said she was "more optimistic than pessimistic" that such a coalition would be formed.