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FRANKFURT: German President Frank-Walter Steinmeier on Friday ordered parliament dissolved and set new elections for February 23 in the wake of the collapse of Chancellor Olaf Scholz 's coalition, saying it was the only way to give the country a stable government capable of tackling its problems. ET Year-end Special Reads Two sectors that rose on India's business horizon in 2024 2025 outlook: Is it time for cautious optimism or rekindling animal spirits? 2024: Govt moves ahead with simultaneous polls plan; India holds largest democratic exercise Scholz lost a confidence vote on December 16 and leads a minority government after his unpopular and notoriously rancorous three-party coalition collapsed on November 6 when he fired his finance minister in a dispute over how to revitalise Germany 's stagnant economy. Steinmeier said he made the decision because it was clear after consultation with party leaders that there was no agreement among Germany's political parties on a majority for a new government in the current parliament. “It is precisely in difficult times like these that stability requires a government capable of taking action and a reliable majority in parliament,” he said as he made the announcement in Berlin . 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He had 21 days to make that decision. Once parliament is dissolved, the election must be held within 60 days. Leaders of several major parties agreed earlier on the election date of February 23, seven months earlier than originally planned. Steinmeier warned about outside interference in the poll, saying it is “a danger to democracy, whether it is covert, as was evidently the case recently in the Romanian elections, or open and blatant, as is currently being practiced particularly intensively on platform X.” A top Romanian court annulled the first round of the country's presidential election, days after allegations emerged that Russia ran a coordinated online campaign to promote the far-right outsider who won the first round. The campaign is already well underway. Polls show Scholz's party trailing the conservative opposition Union bloc led by Friedrich Merz. Vice Chancellor Robert Habeck of the environmentalist Greens, the remaining partner in Scholz's government, is also bidding for the top job — though his party is further back. If recent polls hold up, the likely next government would be led by Merz as chancellor in coalition with at least one other party. Key issues include immigration, how to get the sluggish economy going, and how best to aid Ukraine in its struggle against Russia. The populist, anti-immigration Alternative for Germany, or AfD, which is polling strongly, has nominated Alice Weidel as its candidate for chancellor but has no chance of taking the job because other parties refuse to work with it. Germany's electoral system traditionally produces coalitions, and polls show no party anywhere near an absolute majority on its own. The election is expected to be followed by weeks of negotiations to form a new government. It's only the fourth time that the Bundestag has been dissolved ahead of schedule under Germany's post-World War II constitution. It happened under Chancellor Willy Brandt in 1972, Helmut Kohl in 1982 and Gerhard Schroeder in 2005. Schroeder used the confidence vote to engineer an early election narrowly won by centre-right challenger Angela Merkel. (You can now subscribe to our Economic Times WhatsApp channel )CSE gathers more momentum with Rs. 10 b turnoverCovina police chief retiring at the end of the year, captain named new chief
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