Merkel's party unveils manifesto as election nears

German Chancellor Angela Merkel's Christian Democratic Union (CDU) and its Bavarian sister party, the Christian Social Union (CSU), unveiled their election manifesto on Monday, pledging no tax increases three months ahead of the general elections on September 22. The 120-page program, announced at a party conference on Monday, promised no new taxes, a balanced budget, and earmarks 25 billion euros (33 billion U.S. dollars) to upgrade the German highway system. It also promised longer tax breaks for families with children and higher pension entitlements for stay-at-home mothers. However, the manifesto drew criticism from opposition Social Democratic Party (SPD), whose parliamentary speaker said the manifesto was promising "everything under the sun" after failing to implement real reforms. Criticism also came from Free Democrats (FDP), Merkel's junior coalition partner, whose party leader Philipp Roesler said in an interview with Handelsblatt Daily that the CDU had succumbed to "the sweet poison of spending." Merkel has maintained her position as the most popular politician in Germany as polls suggested a over 60-percent approval rate among voters. Her domestic popularity owes much to sticking to principles in dealing with the eurozone debt crisis, including pressing indebted eurozone members to carry out austerity measures and reforms. Germany's economic performance during the crisis also helped to boost support for the Merkel administration. She is widely expected to win a third term, although uncertain election results may force her to find a new coalition partner. If the pro-business FDP party fails to reach the 5-percent mark in the elections in order to remain in the parliament, Merkel has to consider forming a coalition with the opposition SPD or the Greens.