Germany: Progress in the formation of government - BBH

Analysts at BBH note the apparent progress in the formation of the next German government as it appears that the Merkel may soon concede the coveted finance ministry portfolio to its new coalition partner (likely the FDP). 

Key Quotes

“Merkel may strip the international (e.g., Europe) responsibilities from it and transfer them to the Economic Ministry.  The Finance Minister's remit would cover the domestic economy.  The Economic Minister would attend the Eurogroup and G7 meetings, for example.  Such considerations may be important as investors attempt to assess the policy implications of the new coalition government.”