Merkel ally attacks her refusal to cap German refugee intake

MUNICH, Germany (Reuters) - The leader of Chancellor Angela Merkel's Bavarian allies on Friday challenged her refusal to cap the number of refugees flooding into Germany, saying the government would lose popular support without such a ceiling. Germany is taking in more refugees than any other EU state with Bavaria bearing the brunt of the inflow. The state interior ministry there said on Friday that over 900,000 migrants had been registered in Germany since the beginning of the year. Addressing the annual congress of the Bavarian Christian Social Union (CSU), Merkel said the European Union could emerge stronger from the refugee crisis if it responded to the challenge. "If we want that, we must work with all our strength for a European and international solution ... in which we share the burden in Europe and with our neighbours," said Merkel, who will mark the anniversary of a decade in office on Sunday. Merkel added that reducing the number of refugees arriving in Europe required better management of the new arrivals at Germany's borders, improvements to the situation at refugee camps in Turkey, and a halt to people smuggling. "With this commitment, we will better manage to reduce the number of refugees than by setting a one-sided national cap," she said in a 20-minute speech. But CSU leader Horst Seehofer, speaking immediately after Merkel, insisted that a cap was necessary. "We are of the firm belief that, with this large, historical challenge of integrating refugees in our country, we will not have the approval of the people over the long term if we do not agree on a limit for the immigration of refugees," he said to loud applause. Tension has been simmering in recent weeks between the Bavarian CSU and Merkel's Christian Democrats (CDU), with Seehofer being Merkel's most outspoken critic. Together the conservative allies form 'The Union', and rule in coalition with the left-leaning Social Democrats. But angst in the fiercely proud and traditional CSU about the refugee influx has sown discord between the allies. Seehofer, who is under pressure from municipalities in Bavaria to press the federal government to stem refugee arrivals, added he hoped to resolve differences with Merkel. Merkel's push for a European solution has also met resistance abroad, with Polish Prime Minister Beata Szydlo saying on Wednesday that European countries cannot burden their EU allies with problems they are responsible for. Merkel, 61, says herself she is facing her greatest challenge with the refugee crisis. In her speech, she gave a rousing and upbeat assessment of Germany, which she declared to be "Europe's strongest country." "Germany is our fatherland, Europe is our future - however much that annoys us sometimes," she added. "Today, our country is stronger than ever." The same does not apply for Merkel's personal standing, which has taken a big hit due to the refugee crisis. In April, 75 percent of Germans thought she was doing a good job. In a survey by Infratest dimap last week, it was only 49 percent. (Reporting by Andreas Rinke; Writing by Paul Carrel; Editing by Richard Balmforth)