Factbox: German coalition watch - Let's not be perfectionists in coalition talks, says Merkel ally

German Chancellor Angela Merkel delivers her speech during a Lower Saxony's Christian Democratic Union's (CDU) regional election campaign rally in Stade, Germany October13, 2017. REUTERS/Fabian Bimmer

BERLIN (Reuters) - Chancellor Angela Merkel won a fourth term in office in the German national election on Sept. 24, but a fractured vote that brings the far-right into parliament means she must try to work out a three-way coalition untested at federal level.

The new alliance would comprise Merkel's conservative bloc - her Christian Democratic Union (CDU) and the Bavarian Christian Social Union (CSU) - along with the pro-business Free Democrats (FDP) and environmentalist Greens.

Such a tie-up is called a "Jamaica" coalition, because the three parties' colours of black, yellow and green match those of the Jamaican flag.

To secure a coalition agreement, the unlikely bedfellows must overcome differences on a range of issues including immigration policy, Europe, tax and the environment.

The CDU and CSU have reached an agreement over immigration policy, but it is not clear whether it will pass muster in a full coalition.

Following are remarks on the possible coalition from senior officials:

PROSPECTS FOR A JAMAICA COALITION:

ANGELA MERKEL (CDU)

"We achieved a joint result (with the Bavarian CSU allies) which I think is a very, very good basis to go into exploratory talks with the FDP and Greens."

"On Friday, October 20th, we will have a first round of exploratory talks with all partners."

"The parties come from very different starting positions. There will be discussions in a lot of policy areas with the FDP and the Greens."

"We know that unusual combinations can of course bring the opportunity to find some solutions to things that had seemed unsolvable until now. So now we need to put our noses to the grindstone and see what we can do."

THOMAS DE MAIZIERE (CDU)

"We'd be well advised not to be perfectionists in the upcoming coalition negotiations but rather to be open and to build trust that a government will be formed that acts sensibly, even during unforeseeable crises."

GUENTHER OETTINGER (CDU)

"Thoroughness is certainly more important than speed, but I'm optimistic that everything will be sorted out by Christmas. All four parties are showing goodwill and the will of the voters is clear too: 'Jamaica' should be formed."

CEM OZDEMIR (GREENS)

"We all need to just get started now."

"Compromises always mean everyone needs to give a bit."

CHRISTIAN LINDNER (FDP)

"We don't have to govern. There is also the possibility of another grand coalition (between Merkel's conservatives and the Social Democrats)."

WOLFGANG KUBICKI (FDP)

"It can succeed. The most important thing is that trust needs to be built between participants, and that takes time. That's why it would be illusory to believe we could conclude negotiations by Christmas."

IMMIGRATION:

CEM OZDEMIR (GREENS)

"No one would understand it if the new government does not pass an immigration law."

"We need a mix of humanity and order. We Greens also want to secure the EU's external borders and build a sensible database of fingerprints."

SIMONE PETER (GREENS)

"This is an agreement between the CDU and CSU, and far from the result of exploratory talks for a coalition with the FDP and Greens."

CHRISTIAN LINDNER (FDP)

"Immigration is not the only issue where the parties have different ideas."

WOLFGANG KUBICKI (FDP)

"I am certain that, in the end, the solution that the CDU/CSU have found with each other will not be the basis for common work (with us) for the next four years."

GUENTHER OETTINGER (CDU)

"No party can expect the others to accept its original wording without changes ... But I believe that a signal about limiting immigration on humanitarian grounds will ultimately make its way into the coalition agreement."

EURO ZONE FISCAL POLICY:

SIMONE PETER (GREENS)

"Europe's fiscal policy needs a shift away from austerity toward a common pact for tax collection and investments, which would trigger social and ecological innovations."

CHRISTIAN LINDNER (FDP)

"A red line for us in coalition talks is the mutualisation of debt in Europe, the creation of new pots of money."

ENVIRONMENT:

GUENTHER OETTINGER (CDU)

"What we Christian Democrats call 'preservation of Creation' overlaps a lot with what the Greens call a sustainable approach to nature."

(Compiled by Berlin bureau, Editing by Kevin Liffey)