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Germany
Angela Merkel, Germany’s new chancellor, has won something of a poisoned chalice. She must put the economy back on track, fix the public finances and cure a pervasive public gloom. Job creation is vital, but the coalition partners differ on their strategy. - -
Content
Task is to manage conflicting goals
The head of Germany’s unwieldy coalition has a difficult job ahead of her but is also carrying the hopes of many.
Public finances: Intensive care required for a delicate patient
Angela Merkel’s predicted crackdown on budget deficits is unavoidable but some say it comes at the worst possible time for Germany.
Unemployment: Labour market reforms divide coalition
Job creation plans, though vital, remain vague.
Economy: Consumer caution slows recovery
A revival in spending by the German public would need a change in the national mood.
Frank-Walter Steinmeier: Stepping out of the shadows
Frank-Walter Steinmeier has sharply shifted career gear to become the new foreign minister.
Newspapers: British invader is in the vanguard of change
Newspaper publishing could be on the verge of a huge shakeout.
Germany key facts
- Official name: Federal Republic of Germany
- Capital: Berlin
- Population: 82.5 million
- Currency: Euro
- Official language: German
Introduction
With coastlines on both the Baltic and North Seas, Germany is bordered by nine countries. Plains and rolling hills in the north give way to more mountainous terrain in the south. Europe's foremost industrial power, and its most populous country apart from Russia, Germany is the world's second-biggest exporter. Unified in the 1870s, it was divided after the defeat of the Nazi regime in 1945. The communist-ruled east was part of the Soviet bloc until the collapse of the East German regime in 1989, which paved the way for reunification in 1990. Tensions created by wealth differences between east and west were then exacerbated by record levels of unemployment. The government committed itself to European union and adopted the single currency, the euro, even though the stable deutsche mark had been a symbol of German pride.
