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Germany
may yet have its first woman chancellor
Berlin: Germany Christian Democrat (CDU) leader
Angela Merkel may well become the country's first woman
chancellor, after the two largest parties agreed yesterday
to begin coalition talks.
Dr
Merkel said it remained to be seen whether a new government,
what she called a "coalition of new opportunities",
would emerge from the talks. She however said that she
had reached "a good and fair" deal that would
end Social Democrat Gerhard Schröder's seven years
in office.
Social
Democratic (SPD) leaders however were more cautious, saying
yesterday's agreement was a "building block"
but not a coalition agreement in itself.
The
agreement came three weeks after a general election which
left neither side with a parliamentary majority in its
preferred coalition. A grand coalition, if it should occur,
will only be the second in Germany's post-war history.
The
two sides now face difficult negotiations, in order to
bridge the gaps between two contrasting election programmes
to the satisfaction of their respective parties.
Dr
Merkel has said her priorities would be to tackle mass
unemployment of over 10 per cent, deficit consolidation
and to simplify decision-making between Germany's government
and the federal states, which is blamed for slowing-up
progress.
The
euro rose briefly after news of the breakthrough, but
sank as realization sunk in that, in a grand coalition,
Dr Merkel may not have the mandate to push through her
plans for the euro zone's largest economy.
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America
and EU offer free trade concessions
Brussels:
Washington and Brussels on Monday launched a coordinated
attempt to revitalise stalled global trade talks with
synchronized announcements of cuts in support for farmers
in the United States and the European Union.
The
US trade representative, Robert Portman, led the way with
an offer to cut the most trade-distorting American farm
support by 60% by 2013, provided Europe responded with
its own 80% reduction.
Peter
Mandelson, the EU trade commissioner, responded by calling
the US blueprint constructive and announced a plan to
cut Europe's farm subsidies by 70% and to set a ceiling
of 10% for industrial tariffs.
The
joint move was seen as helpful by the WTO, which sees
agriculture as the key to making progress in the other
areas covered by the round of negotiations launched in
Doha almost four years ago. These include industrial tariffs,
services and special assistance for developing countries.
According
to Oxfam representatives, the Americans and the Europeans
were "trying to get a round for free". Washington
would be able to get away with cutting agricultural support
by less than US$2bn, while the EU would cut by only €3bn.
The
US and EU made it plain that their offers would have to
be matched by proportional cuts in agricultural subsidies
among other developed countries, including Japan, and
by progress in liberalising trade in manufacturing and
services.
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Prince
William picks HSBC
London: Canary Wharf, London's second financial
heartland, will have a high profile worker reporting for
work in the area, after Prince William, the second in
line to the British throne, elected to spend a month gaining
work experience at HSBC, Brtiain's biggest bank.
In
what is being touted as a spectacular coup for HSBC, led
by chairman Sir John Bond, Prince William is expected
to start work at the bank early next month.
As
well as spending some time at HSBC's headquarters in Docklands,
William will work mainly at the St James's Street headquarters
of its asset management division. There, he will learn
about all aspects of business life, but with a particular
focus on charitable fundraising.
The
bank, the second-largest in the world, is expected to
tighten security measures to ensure the safety of the
young prince. It has already played host to his uncle,
Prince Andrew, earlier this year.
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