German Chancellor Angela Merkel asked on Wednesday for Europe-wide quotas for taking in refugees to control the current refugee flows amid growing pressure both at home and abroad in connection with her open-door refugee policy.

In an address to the Bundestag, lower house of the German parliament, Merkel made clear that the number of refugees coming to Germany must be reduced.

Noting that "simply barricading ourselves in won't solve the problem", she said Europe should agree on "legal quotas" for accepting refugees in order to tackle the current refugee crisis.

The chancellor called on the EU to follow through on plans of setting up 'hotspots' in countries on the bloc's external borders such as Greece and Italy, adding that the 'hotspots' would enable more efficient processing and further resettlement or deportation of refugees.

In addition, Merkel reiterated that Turkey was a key partner for reducing the number of refugees coming to the EU's borders. Helping Turkey deal with the refugee crisis in its region is in the EU's own interest, she said.

Merkel has come under fire for her welcoming stance toward refugees, which critics say has led to even more refugees seeking asylum in Europe and Germany in particular.

Guenther Oettinger, European commissioner in charge of digital economy and society, said Wednesday in an interview with German media that Germany's asylum laws "work like a magnet on the refugees."

French Prime Minister Manuel Valls has argued in favor of limiting the influx of refugees coming from the Middle East, ahead of a visit of Merkel to France on Wednesday.

Merkel is also facing mounting pressure at home given a huge influx of refugees to Germany over the last few months. Critics said Germany could not continue to accept refugees at the same rate as in the past.

Over the weekend, the German political divide on the issue was clearly on display at the party conference of Merkel's coalition partner, the Christian Social Union (CSU).

Normally seen as the sister party of Merkel's Christian Democratic Union (CDU), CSU leader and Bavarian State Premier Horst Seehofer was openly at odds with Merkel on the stage they shared at the conference, demanding an upper limit to the number of refugees Germany was willing to accept.

While Merkel made no specific reference of a cap in her speech to the Bundestag on Wednesday, many of her remarks dealt with other ways that would reduce the number of refugees.

Key steps, she said, include combating the root causes of the refugee crisis, working to end the conflict in Syria as well as establishing 'hotspots' and providing support to Turkey.

The chancellor also stressed that Germany would continue its stricter policy toward refugees whose asylum applications fail. "We expect those who are denied asylum after the normal civil procedures leave the country so those who need our protection can get it," she said.

For Merkel, Germany's refugee influx, predicted to reach one million people this year, has become the biggest challenge of her chancellorship as she marked 10 years in office over the weekend.

Her decision to welcome Syrian refugees has won her plaudits but also sparked a backlash, with some senior ministers openly questioning the approach and her usually stellar poll ratings slipping several points.

Germany's ruling grand coalition, comprised of the CDU/CSU union party and the Social Democratic party (SPD), is divided as to whether and how the influx of refugees to Germany can be curbed. In particular, tensions have been simmering in recent weeks between Merkel's CDU and its rally CSU.

While Seehofer, Merkel's most outspoken critic, has been appealing for a cap on Germany's refugee intake, the chancellor has stressed for several times that she would not introduce an upper limit.

Instead, Merkel believed that the refugee problem should be tackled through Europe-wide legally-binding quotas, an idea that also gains support from the SPD.

Speaking of the refugee quotas, German Interior Minister Thomas de Maiziere (CDU), told German media on Sunday that "a quota automatically means limiting the number of refugees."

SPD's parliamentary group leader Thomas Oppermann believed that the refugee flows to Germany could be brought under control with a quota solution.

According to CDU's vice chairman Thomas strowl, Merkel would discuss the quota plan with other European countries and Turkey in the coming weeks. He expressed hope that Europe could reach an agreement on this issue at the beginning of next year.

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