A VETERAN ally of Chancellor Angela Merkel has urged Muslims in Germany to develop a "German Islam" based on liberalism and tolerance, saying the influx of people seeking refuge — many of them Muslims — was a challenge for mainstream society.Finance Minister Wolfgang Schaeuble, stepping out of his usual finance remit, urged tolerance, saying the arrival of hundreds of thousands of migrants required a better understanding among Germans of what was important to them and how they wanted to live.Almost 1-million migrants from the Middle East and Africa went to Germany in 2015, stoking social tension and boosting support for the right-wing Alternative for Germany party, which says Islam is not compatible with the constitution.There has been a rise in far-right violence and attacks on migrant shelters, particularly in eastern Germany.Schaeuble, a stalwart of Merkel’s Christian Democrats (CDU), said: "Without a doubt, the growing number of Muslims in our country today is a challenge for th...

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