Ireland's two major centre-right parties finalised a coalition deal with independent lawmakers on Wednesday that will return Micheal Martin as prime minister and continue the previous government's high spending economic policy.

FILE PHOTO: Ireland's Tanaiste (Deputy Prime Minister) and leader of Fianna Fail, Micheal Martin smiles as he arrives at the Cork South Central count centre, during Ireland's general election, in Cork, Ireland, November 30, 2024. REUTERS/Damien Eagers/File Photo

Ireland’s centrist political parties struck a deal to form a coalition government, backed by a handful of unaligned lawmakers, after weeks of negotiations, according to the Irish Times.

A deal has reportedly been reached between Fianna Fail, Fine Gael and politicians from the Regional Independent Group to form the next government, a month and a half after November's election.

An agreement has been reached which will pave the way for a new government to be formed in the Republic of Ireland. This follows the Irish general election in November, in which Fianna Fáil emerged as largest party.

Ireland’s two dominant political parties will return to power for another five-year term after agreeing a new coalition deal following weeks of negotiations.