The paper says that the Social Democrats and the Party of Democratic Socialism have made a pact to bid for the Games in 2016. The Social Democrats had previously wanted to bid for the 2012 games but the Party of Democratic Socialism dismissed the idea, citing cost burdens.
London is also unlikely to bid for the 2012 Games because of the failure of the capital to stage the World Athletics Championships in 2005.
Last month the city of Houston was selected as a US 'Candidate City' to host the 2012 Olympic Games.
