VIENNA — Herbert Kickl, the leader of Austria’s far-right Freedom Party, has outlined a significant step forward in his attempt to form a government, announcing an agreement with his potential coalition partners aimed at reducing the national budget deficit. This move is critical as it could mark the establishment of Austria’s first far-right government since World War II.
Following the Freedom Party’s success in the parliamentary elections held in September, Kickl received the mandate to negotiate government formation with the conservative Austrian People’s Party. The Austrian People’s Party had previously tried to establish a coalition without Kickl, but their lengthy discussions with two mainstream parties fell apart, primarily due to disagreements on how to address the country’s financial situation.
On Monday, the two parties shared their plan to implement approximately 6.3 billion euros (around $6.5 billion) in savings this year, aiming to bring Austria’s budget deficit below the 3% threshold set by European Union regulations. Kickl emphasized that these savings would be achieved without increasing taxes, through measures targeting tax loopholes and privileges, particularly relating to large corporations, alongside cuts in administrative spending and a reduction in excessive subsidies. However, specific details of the financial plan remain unclear, as further discussions are necessary to finalize the complete strategy.
Kickl also expressed confidence in their rapid progress, stating, “We have achieved together, in three days of intensive and good negotiations, what was not possible in about 100 days in a different political constellation,” indirectly criticizing the previous coalition’s failure to reach an agreement.
Nonetheless, the negotiations to establish a new government are expected to be lengthy and may take weeks or even months, with no guarantees of success. As these talks unfold, Foreign Minister Alexander Schallenberg has stepped in as interim chancellor following the resignation of Karl Nehammer, who led Austria for the past three years but could not form a new coalition.
Ahead of his visit to Brussels, where he was scheduled to meet with senior EU officials, Schallenberg stated that he wanted to convey a strong message: “Austria is and remains a strong, reliable and constructive partner in the European Union.” He assured that Austria would continue to support EU foreign and security policies, as reported by local sources. However, Schallenberg does not intend to remain in the government should Kickl take the reins and has noted that he cannot represent the views of the potential new coalition.
