Germany’s Green party rejected a draft debt-financed package that would unleash hundreds billions of euros in defense and infrastructure spending, potentially leaving chancellor-in-waiting Friedrich Merz without a supermajority needed to pass the legislation.

BERLIN (Reuters) - Germany's Greens may refuse to back plans by likely next chancellor Friedrich Merz for a massive increase in state borrowing, with a party source on Monday warning "approval is becoming less likely with each passing day".

Election winner and Chancellor-in-waiting Friedrich Merz is relying on votes from the Greens to push through parliament a special fund for infrastructure and defence. View on euronews

Friedrich Merz promised tougher measures to tackle illegal migration, including by turning away people at Germany's borders and expanding border controls, promising to act along with other EU members.

German election winner Friedrich Merz's conservatives and the Social Democrats (SPD) have concluded preliminary talks towards forming a coalition government, heads of the parties said on Saturday.

In Germany, coalition governments are typically formed through a two-step process: parties first engage in exploratory talks to assess potential alliances before entering formal coalition negotiations