Political Uncertainty Lingers In Europe

German Chancellor Angela Merkel won the national election for the fourth time in September. However, she is yet to form a stable government in Berlin. Many people in Germany and other European countries feel that Germany is heading towards a snap poll.

As her party failed to get absolute majority, the chancellor had no other option, but to depend on other parties in order to form a 'strong' coalition government. Germans initially thought that 'friendly' parties, like Free Democrats and Green Party, would join hands with Merkel's centre-right Christian Democratic Union and help the latter form the government. However, the three parties failed to reach an agreement even after holding several rounds of talks and hinted in the last week of November that it might not be possible for them to form an alliance.

But, the scenario has changed again. Bavaria-based conservative...