Angela Merkel sought to ease the concerns of Germany's Jews Sunday over a disputed ruling against circumcision as she became the first Chancellor to address the Jewish community's annual Council meeting.
"The respecting of religious ritual is a fundamental good," she told the annual gathering of the Central Council of Jews in Germany in the western city of Frankfurt.
"I am delighted... that there is a lively Jewish community in Germany," added the chancellor.
The German Chancellor said on the sidelines of the visit that there was still "a large amount of anti-Semitism in Germany," saying this should motivate everybody to think more carefully about respect for other cultures.
"Respect for the vibrancy of religious rituals is a tremendous asset," Merkel said, a statement that appeared to refer to a recent parliamentary move to make religious circumcision legal - after a regional court ruling cast doubt on the issue earlier in the year.
In the ruling published in June, the court in the western city of Cologne judged the rite to be tantamount to grievous bodily harm, prompting international outrage and calls for more legal clarity.
The Cologne ruling united Jewish and Muslim groups in opposition and German diplomats admitted privately that it had proved "disastrous" for Germany's international image, particularly in light of its Nazi past.
Merkel was reported to have cautioned that Germany risked becoming a "laughing stock" if circumcision were banned in the country.
Last month, Merkel's cabinet passed a draft law to permit circumcision and clarify the legal situation.
She said she believed it to be a "balanced text".
"I hope it can be agreed in the Bundestag before Christmas," she added,referring to the German lower house of parliament. "Freedom of religion is expressed by allowing religion to be practiced," Merkel said.
The new bill stipulated certain provisos for a boy to be circumcised. Among these conditions, the draft law said the practice must be carried out "professionally" and "with the most effective pain relief".
An exception must also be made in individual cases if there are health risks, for example if the infant is suspected of being a haemophiliac.
The head of the Central Council of Jews in Germany, Dieter Graumann, thanked Merkel for her assistance in what he described as "difficult times."
"It is important that German politicians acted and came up with legislation that we can live with," Graumann said.
The Council's presidenthad spoken of a "summer of discontent" prior to Merkel's visit, saying that her first trip to the annual meeting in Frankfurt "did a lot of good" and was "particularly important."
"This visit has done us good in a time that is difficult for us," he added.

'Every country has the right to defend itself'
Merkel also used the visit to reiterate Berlin's support of Israel following the Gaza conflict.
"Every country has the right to defend itself. This is not only the right but also the duty of every government," added Merkel.
The Central Council's former president, Charlotte Knobloch, wrote a guest article in the mass-circulation Bild am Sonntag newspaper, urging German politicians to do more to support Israel after the conflict last week.
"It's important for the people in Israel to feel that the German population is behind them," she wrote, saying many in Germany still knew "too little about millions of Israelis living in daily fear."
Knobloch praised Merkel for making it clear that "the guilt for the most recent escalation in the Middle East is solely that of the terrorist organization Hamas, which has been firing rockets at Israel from the Gaza Strip every day for years."