MERKEL'S MESS: German Government FACING COLLAPSE over Immigration Crisis

Germany's interior minister was expected to hold talks with Chancellor Angela Merkel's party on Monday after offering his resignation in a bitter dispute over migration policy, but there was little sign of a possible compromise.

"I said that I would vacate both my offices (as federal interior minister and CSU party chief) in the next three days", Seehofer told reporters in Munich after talks with his party stretching into the small hours.

Merkel and Seehofer, whose Christian Social Union party is based in Bavaria, have sparred over migration policy since 2015.

While both parties sought to de-escalate the crisis, Seehofer remained defiant until the last moment, pointing to his leadership of a party that had proved its ballot-box muscle in the past.

The chancellor's claim that the CSU's demands had been fulfilled by the European Union deal was contradicted by some CSU politicians entering the meeting in Munich, who maintained that it was up to the party to decide. "In the end, the government could fall and an old, proud party could descend into ridiculousness".

Meanwhile, the conflict nearly toppled Germany's ruling coalition which comprise CDU, CSU and the Social Democratic Party (SPD).

The simmering row has now come to the boil again as the CSU faces a new electoral threat from the far-right AfD in October state polls.

According to a paper of the agreement distributed by CSU politician Minister of State for Digitization Dorothee Baer, the two parties agreed to introduce new border regime on the border between Germany and Austria, in a bid to prevent asylum seekers registered in other European Union states from entering Germany.

Mrs Merkel stayed up with European Union leaders until dawn on Friday to clinch a new deal on migrants.

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The issue of direct rejection was the biggest one in the asylum conflict of the sister parties CDU and CSU.

"I understand that this is a dramatic attempt to save her own position, but absolutely there is no agreement" Jacek Sasin, a senior Polish government official said on public television on Sunday.

Before the sides met, CDU leaders and lawmakers stressed the importance of maintaining the conservative alliance, Germany's strongest political force for much of its post-war history.

However Seehofer rejected Merkel's assessment that the EU-wide measures would "have the same effect" as his demand to turn away migrants registered elsewhere in the bloc.

Nonetheless, for now the deal suggests that Merkel - in power for over 12 years, and the EU's longest serving leader - goes on to live another day after surviving the latest bruising challenge to her authority. But replacements for Horst Seehofer are only likely to be more hardline.

"It's not about who comes out on top, but about what's right", Bavarian state premier Markus Soeder told the CSU gathering, according to news agency DPA.

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Commenting on the possibility of his country opening a center, Austrian Prime Minister Sebastian Kurz said: "Of course not ... we are not a first-arrival country, unless people jump with parachutes".

The deal announced overnight ended Merkel's worst crisis for now after she faced down an unprecedented mutiny by Seehofer, head of her party's traditional Bavarian allies the CSU.

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