1) Germany has no problem with dual/mulitiple nationalities when aquired at birth (just like with your daughter, she can keep them all)
2) Germany does allow multiple citizenship in certain case, it's in section 12 of the nationality act:
http://www.bmi.bund.de/SharedDocs/Geset ... cationFile
(1) The condition stipulated in Section 10, sub-section 1, sentence 1, no. 4 shall be waived if the foreigner is unable to give up his or her previous citizenship, or if doing so would entail particularly difficult conditions. This is to be assumed if
1. t
he law of the foreign state makes no provision for giving up its citizenship,
2. the foreign state regularly refuses to grant release from citizenship,
3. the foreign state has refused to grant release from citizenship for reasons for which the foreigner is not responsible, or attaches unreasonable conditions to release from citizenship or has failed to reach a decision within a reasonable time on the application for release from ci
tizenship which has been submitted in due and complete form,
4. the subsequent multiple nationality represents the sole obstacle to the naturalization of older persons, the process for release from citizenship entails unreasonable difficulties and failure to gr ant naturalization would constitute special hardship,
5. in giving up his or her foreign citizenship the foreigner would incur substantial disadvantages beyond the loss of his or her civic rights, in particular such disadvantages of an economic or property-related nature, or
6. the foreigner holds a travel document in accordance with Article 28 of the Convention relating to the Status of Refugees of 28 July 1951 (Federal Law Gazette 1953 II, p. 559).
(2)
The condition stipulated in Section 10, sub-section 1, sentence 1, no. 4 shall further be waived if the foreigner holds the citizenship of another member state of the European Union or Switzerland
I recommend you to visit
www.info4alien.de for further questions. It's forum for German migration law.