Berlin, 6 May 2025 (dpa/MIA) - Friedrich Merz is set to be elected Germany's new chancellor on Tuesday, as his new administration takes office hoping to restore the country's waning economic fortunes and revitalize Berlin's role in Europe.

Merz is due to replace outgoing Chancellor Olaf Scholz after a vote in the lower house of parliament, or Bundestag, with a result expected at around 9:30 am (0730 GMT).

The 69-year-old is then due to be sworn in by President Frank-Walter Steinmeier along with his 17 Cabinet ministers.

The new government is set to take office exactly six months after Scholz's unhappy three-way coalition imploded, triggering early elections in February.

Merz's conservative bloc - made up of his Christian Democrats (CDU) and the Bavaria-only Christian Social Union (CSU) - emerged as the winner and is now set to govern in coalition with the centre-left Social Democrats.

The coalition partners hold 328 of the 630 seats in the Bundestag, with Merz requiring an absolute majority to be elected chancellor.

A defeat - which would throw the German political system into unknown waters - is seen as extremely unlikely, especially given the threat from the far-right Alternative for Germany (AfD), which finished second in February's poll and has surged in recent opinion polls.

The incoming German government faces a long list of urgent challenges, ranging from reviving an economy beset by two consecutive years of recession to navigating the shockwaves of the apparent shift in US foreign policy under President Donald Trump.

Domestically, the coalition will be expected to make good on its promise to limit irregular migration and cut bureaucracy, while it could also face calls to ban the AfD after the domestic intelligence service last week classified the party as "confirmed right-wing extremist."

Photo: EPA