CHANCELLOR-designate Angela Merkel, Germany's first woman leader, will have her powers severely curtailed in Germany's planned left-right government. "That the chancellor sets the course in a coalition with equally strong partners is only possible in very small doses," warned Edmund Stoiber, who leads the coalition talks for the conservatives alongside Merkel. Indeed, the Social Democrats have secured control of most of the ministries in return for Merkel replacing Gerhard Schroeder as chancellor, and they insist that they have equal say in the new government's direction. The two rivals have sharply contrasting personalities and agendas, and were running neck-to-neck in the election race, but it was Merkel who won by default. Outgoing Chancellor Schroeder fought a long and hard battle with his conservative rival. The two had long been at political loggerheads. He is expected to take part in coalition talks and he stressed that he will not retire yet from politics. However, it is not clear if he will have a ministerial post. Despite his political setback, Schroeder flew to St Petersburg to attend Russian President Vladimir Putin's birthday bash. Schroeder will also have a working dinner party in Paris on Friday to prepare for an EU summit in London later in the month. The German economy is still in the doldrums and the main task of the new chancellor would be to tackle unemployment. Merkel will not officially take office until November and Schroeder is to represent Germany at the EU summit at Hampton Court on the outskirts of the British capital London.
