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BERLIN (Reuters) - Germany's would-be coalition partners reached agreement on a law to attract qualified labour to Germany, German media reported on Tuesday, citing a paper from a working group in the exploratory talks between the parties.

Immigration is one of the most sensitive topics in the talks between Chancellor Angela Merkel's conservatives and the centre-left Social Democrats.

The agreement on that topic, following compromises on tax and carbon emissions policy achieved on Monday, suggested the parties are inching closer to a decision to open formal coalition talks.

(Reporting by Thomas Escritt, editing by Michelle Martin)

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