There was political turmoil in Austria on Saturday night following the collapse of coalition talks between central parties, resulting in Chancellor Karl Nehammer’s resignation. What follows is uncertain.
The Social Democratic Party of Austria (SPÖ), a major Austrian political party, lost its footing.
“I will resign my position as Chancellor and as the leader of the People’s Party in the days to come and allow for a smooth transition,” Nehammer said in a video statement on social media.
The conservative Austrian People’s Party (ÖVP) and the centrist Social Democratic Party (SPÖ) had been in talks in an attempt to establish a coalition government without involving the far-right Freedom Party (FPÖ).
from talks on Friday.
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“The People’s Party is sticking to its commitments: We will not accept economically damaging, anti-growth policies or new taxes,” he stated firmly, criticizing the Social Democrats for being too extreme.
It is apparent that the forces of destruction within the SPÖ have gained control,” he stated. “It is my genuine conviction that radicals do not provide a solution to a single issue. Hence, we will not be pursuing further negotiations with the SPÖ.
Austrian Social Democratic (SPÖ) chief Andreas Babler accused the Austrian People’s Party (ÖVP) of playing tactical political games.
A government led by an FPÖ-ÖVP with a far-right chancellor that could pose a threat to our democracy on numerous fronts.
Austria: what happens next?
They have been unable to establish a government since other parties have refused to form an alliance with them.
Following Nehammer’s resignation, the neoliberal faction supporting a business-friendly approach within the ÖVP may consider forming a coalition with the FPÖ. However, a lot will depend on who the party chooses as its new leader.
New elections are another possibility, but the FPÖ could possibly extend its lead even further, considering the collapse of what the far-right party termed a “coalition of losers.”
Whichever party assumes leadership of Austria’s next government will have to confront several challenges, which include an economy in a recession, increasing unemployment, and a budget deficit of 3.7% of GDP – exceeding the European Union’s specified limit of 3%.
The European Union Commission has stated that Vienna will need to save between eighteen and twenty-four billion euros, equivalent to eighteen point five six billion to twenty-four point seven five billion US dollars.
mf/sms (dpa, AP, Reuters)
