German conservative leader Friedrich Merz reached an agreement with the Green party on a debt-funded spending package for defense and infrastructure, overcoming a key hurdle ahead of a crunch vote in parliament next week.

BERLIN (Reuters) - German Chancellor-in-waiting Friedrich Merz was set to make a last-ditch attempt on Friday to convince the Greens of his plans for a massive increase in state borrowing to bolster defence and infrastructure ahead of a parliamentary vote next week.

German finance ministry officials are considering a compromise debt deal, with some details still being worked out, according to sources. Conservatives led by Friedrich Merz and the Social Democrats,