Chancellor Friedrich Merz and far-right opposition leader Alice Weidel are set to face off in the Bundestag on Wednesday, three days after the Alternative for Germany's (AfD) overwhelming victory in the eastern state of Saxony-Anhalt.

Weidel, the AfD's co-leader and parliamentary group leader, will open the general debate during the Bundestag's Budget Week in her capacity as leader of the opposition. Merz, who also leads the Christian Democratic Union (CDU), will speak immediately afterwards.

The exchange is expected to be dominated by the fallout from Sunday's state election, in which the AfD more than doubled its 2021 share of the vote to finish first with a record 43.8%, but it fell short of an absolute majority.

With the potential tacit support of the populist Sahra Wagenknecht Alliance (BSW), the AfD could seek to form a minority government in Saxony-Anhalt, although difficult negotiations could lie ahead.

The CDU, by contrast, saw its support plunge by almost 20 percentage points to 17.2%.

Merz has faced criticism within his own party over the scale of the defeat.

On Monday, he acknowledged mistakes but ruled out stepping down as chancellor. "Giving up is not an option for me," he said.

Weidel, meanwhile, described Merz on Monday as "a major obstacle to Germany's prosperity" and set the AfD a target of at least 40% at the next federal election, which is due by early 2029.

A total of four hours has been set aside for Wednesday's general debate, with the leaders of all parliamentary groups expected to speak.