The Social Democrats (SPD), the Green and Liberal FDP are Germany's new government, reports AP.

It became clear on Wednesday after the last parts of the coalition agreement were hammered out, which also means that the government will be the country's first three-party government.

He's taking over Merkel

The so-called traffic light parties (red for the SPD, yellow for the FDP and green for the Greens) presented their ministerial posts in the afternoon.

Olaf Scholz (SPD) can now be elected to take over Angela Merkel (CDU) as Federal Chancellor in early December.

A post that Merkel has held for 16 years.

Annalena Baerbock (The Greens) will be Foreign Minister and her spokeswoman colleague Robert Habeck will have a new ministerial post in Economics and Environmental Affairs.

Christian Linder (FDP) becomes Minister of Finance.

Two months of negotiations

Negotiations have been ongoing since the election on 26 September.

The red-greens' promises of raising the minimum wage and extensive climate initiatives have run counter to the FDP's demand that taxes should not be raised and that the state should not increase its debts either.

The formation of the government took 73 days, which can be compared with the 171 days required after the 2017 election to form the so-called grand coalition of Merkel's Christian Democrats (CDU) and SPD.