Germany's head of state started the countdown to a general election on Friday by dissolving the country's lower house of parliament, the Bundestag.

"I have decided to dissolve the 20th German Bundestag to fix the date for an early election for February 23," said President Frank-Walter Steinmeier, adding that "political stability in Germany is a precious asset."

Steinmeier's decision comes after Chancellor Olaf Scholz lost a vote of confidence in the legislature on December 16.

Steinmeier set the date for the new election for February 23.

The parliamentary leaders of Scholz's Social Democratic Party (SPD) and the conservative opposition Christian Democratic Union (CDU) had previously agreed on the date.

Who could be the next chancellor?

Recent opinion polls have the CDU, headed by Friedrich Merz, holding a lead of around 10 points over the center-left SPD suggesting a tough bid for reelection for Scholz.

The populist, far-right Alternative for Germany (AfD) has been polling strongly and has nominated Alice Weidel as its candidate for chancellor.

But other parties have so far refused to work with the AfD, meaning Weidel has little to no chance of taking the job.

Some of the key issues facing Germany include immigration, kick-starting the economy and how best to support Ukraine as it battles Russia's continued invasion.

"Hatred and violence must have no place in this election campaign, nor denigration or intimidation... all this is poison for democracy," Steinmeier said.

The president also told political parties and voters of the challenges the next government will face given the "economically unstable situation... the wars in the Middle East and Ukraine" and the ongoing debates over immigration and climate change.

kb/rc (dpa, Reuters, AFP)