FILE PHOTO: German Chancellor Angela Merkel (R) talks with the Managing Director of the International Monetary Fund (IMF) Christine Lagarde as they arrive for a family photo at the G7 Summit expanded session in Taormina, Sicily, Italy May 27, 2017. REUTERS/Jonathan Ernst

BERLIN (Reuters) - International Monetary Fund (IMF) Managing Director Christine Lagarde said it was reassuring that exploratory talks between Germany’s conservatives and Social Democrats (SPD) had been successful and urged a new government to show global leadership.

Merkel’s conservatives and the SPD agreed to a coalition blueprint last week but it is not yet clear whether they will proceed to full-blown coalition negotiations - the SPD is due to vote on that on Sunday.

Asked by broadcaster n-tv what she expected from a new government in Europe’s largest economy, Lagarde said: “Germany is a key player and it must demonstrate leadership in Europe and the world.”