Germany's Scholz, Merz to clash in final pre-election debate

German Chancellor Olaf Scholz and opposition leader Friedrich Merz will face off in a final head-to-head debate Wednesday, four days before the election, in a campaign overshadowed by the rise of the far right.

Immigration and security, the hot-button topics so far, are expected to feature prominently in the clash from 8:15 pm (1915 GMT) along with US-European tensions and the troubled German economy.

Despite not being in the studio, the resurgent far-right Alternative for Germany (AfD) may again steal the show, particularly after US President Donald Trump's administration waded into the campaign with strong backing for the party.

The AfD has surged to second place in the polls ahead of Sunday's vote, scoring around 20 percent -- second only to Merz's CDU/CSU alliance, which is polling at about 30 percent.

Even if the conservatives win as expected, Merz would need to find coalition partners -- a process that could take weeks and has been complicated by the rise of the AfD and smaller parties that could make it into parliament.

Merz insists, despite relying on the AfD's support in a parliamentary vote last month, that he would never form a coalition with the anti-immigration party.

In a survey by polling firm INSA published in tabloid Bild, 40 percent of those quizzed considered Merz more competent overall than Scholz, who was favoured by just 28 percent.

Merz scored better across a range of flashpoint election issues, including immigration, security and the economy, an outcome the right-leaning Bild labelled a "severe poll damper for Scholz shortly before the election".

Another area of high tension could feature in the debate -- Washington's shock policy shift on the Ukraine war after Trump administration officials met their Russian counterparts in Saudi Arabia on Tuesday.

The talks have blindsided Ukraine's European allies, including Germany, with Scholz warning against forcing a "dictated peace" on Kyiv.

- AfD donation scandal -
 

The AfD was forced onto the defensive Wednesday after questions were raised about the true source of a 2.35 million euro ($2.45 million) donation.

The party had claimed the money, used to print campaign posters, came from a former official in Austria's far-right FPO party, German news outlet Der Spiegel and Austria's Der Standard daily reported.

But there are suspicions that it was donated by a German real estate billionaire, with the Austrian acting as a frontman, which would be illegal, said the reports, citing Austrian security officials.

Party treasurer Carsten Huetter insisted the Austrian donor had provided assurances the money came from his own assets.

"There is no evidence for the alleged claims... there can be no talk of a donation scandal," he said.

The AfD's influence has been thrust up the agenda after Merz last month pushed a motion through parliament on toughening immigration policy with the support of the far-right party.

His gambit came in response to a deadly attack on a group of kindergarten children blamed on an Afghan asylum seeker, the latest in a series of assaults by migrants.

The move sparked protests against what critics said was a breach of the "firewall", the long-standing refusal of mainstream parties in a country haunted by its Nazi past to cooperate with the far right.

Fuelling tensions around the subject, and straining Berlin's relations with one of its closest traditional allies, US Vice President JD Vance and tech billionaire Elon Musk, a Trump ally, have also both voiced support for the AfD.

In a combative speech in Munich last week, Vance said there was "no room for firewalls".

His comments were roundly condemned by German politicians, with Merz saying he would "not tolerate any such interference" and Scholz describing them as unacceptable.

Sunday's polls were precipitated by the collapse of Scholz's three-party coalition in November due to rows over budget plans.

While he is not expected to win re-election -- his centre-left SPD party is languishing in third place in the polls on around 15 percent -- his Social Democrats could still end up in a coalition with the CDU.