By Andreas Rinke and Matthias Williams BERLIN (Reuters) -Election winner Friedrich Merz on Tuesday ruled out a quick reform to Germany's state borrowing limits known as the "debt brake" and said it was too soon to say whether the outgoing parliament could wave through a massive military spending boost.

Outgoing German chancellor Olaf Scholz conceded the election and decried the historic gains of the far-right conservative party, AfD. Early exit polls show AfD is headed for second place, while opposition leader Friedrich Merz’s conservatives are in the lead and Scholz’s party fell to third.