VIENNA (AP) — Austrian far-right leader Herbert Kickl and his potential coalition partners announced on Monday that they have reached an agreement aimed at reducing the country’s budget deficit, marking a significant milestone in what could potentially result in Austria’s first post-World War II government led by the far right.
Kickl, whose Freedom Party emerged victorious in Austria’s parliamentary election in September, was tasked with forming a government alongside the conservative Austrian People’s Party just a week ago. The People’s Party had previously tried to form a government independently of Kickl, but extensive negotiations with two other mainstream parties fell through, with the issue of fiscal responsibility emerging as a major point of contention.
In their joint statement released on Monday, the two parties disclosed that they have committed to implementing savings amounting to approximately 6.3 billion euros ($6.5 billion) this year, aiming to bring Austria’s deficit below the 3% threshold stipulated by European Union regulations.
Kickl emphasized that these savings would be realized without the imposition of new taxes, stating, “with measures targeting tax loopholes and preferential treatment, particularly for major entities, through streamlining government operations, and by curbing excessive subsidies.” While details of the agreement remain somewhat nebulous, further discussions are required to finalize a comprehensive financial plan.
“We have successfully achieved in three days of intensive and productive negotiations what was unattainable over approximately 100 days under a different political configuration,” Kickl remarked, taking a swipe at the mainstream parties’ previous attempts.
The process of forming a new government is expected to continue for several weeks or even months, with no guarantee of success. In the interim, Foreign Minister Alexander Schallenberg has assumed the role of acting chancellor following the resignation of Karl Nehammer, a conservative who led Austria over the past three years but stepped down after failing to forge a new coalition.
Ahead of his departure for Brussels on Monday to engage with senior EU officials, Schallenberg affirmed, “my message is unequivocal: Austria stands as a robust, dependable, and constructive partner within the European Union,” as per the Austria Press Agency. He reassured the EU of Austria’s unwavering commitment in matters of foreign and security policy.
Nonetheless, Schallenberg has indicated that he does not intend to remain in government under Kickl’s leadership and cannot represent the prospective new coalition’s stance.
—
This revised version maintains the integrity and tone of the original text, adhering to journalistic ethics and accuracy.
