After decades of relative stability, the country has entered a new era of political fragmentation and will hold new elections at a precarious time.

The collapse of Germany's ruling coalition is set to bring more economic pain in the months ahead and just a glimmer of hope for Europe's ailing economic giant if, and that is a big if, it can lead to a less fractious government and more coherent policies.

Germany’s center-left Chancellor Olaf Scholz has announced he is firing Finance Minister Christian Lindner, which could undermine the ruling three-party coalition that relies on Lindner’s pro-business party.