German conservatives under Friedrich Merz agreed a coalition deal with the centre-left Social Democrats (SPD) on Wednesday, aiming to revive growth in Europe's largest economy.

The deal follows weeks of negotiations as Europe faces uncertainty over sweeping tariffs imposed by the United States.

Germany's conservative bloc has reached a coalition agreement with the centre-left Social Democratic Party (SPD) to form the next government, sources from the three parties told dpa on Wednesday. The deal follows weeks of arduous negotiations after the centre-right alliance - made up of Friedrich Merz's Christian Democrats (CDU) and the