German Coalition Draws Up Road Map for Broad Reforms by July

Friedrich MerzPhotographer: Yen Duong/Bloomberg

German Chancellor Friedrich Merz’s coalition broke a deadlock on energy legislation and resolved to push through broader reform measures before a parliamentary recess in July after a six-hour meeting aimed at regaining momentum.

The chancellor’s Christian Democratic-led bloc and the Social Democrats met until midnight on Tuesday in an attempt to address widening rifts over Germany’s income tax and state pension systems, while weighing measures to alleviate higher fuel costs on households and businesses.