Austria's Centrist Parties Form New Coalition, Excluding Far-Right FPÖ

Five months after the far-right Freedom Party (FPÖ) emerged victorious in Austria's parliamentary elections, the country's three leading centrist parties have reached an agreement to form a new government, intentionally excluding the FPÖ. The center-right People's Party (ÖVP), the Social Democrats (SPÖ), and the liberal Neos have unveiled a comprehensive 200-page program focusing primarily on revitalizing Austria's struggling economy and reducing the budget deficit.

Christian Stocker, the leader of the ÖVP and the likely next chancellor, announced the accord, stating that the parties had been working tirelessly to finalize the agreement. This coalition marks the culmination of months of political uncertainty following the FPÖ's historic election success, during which the party garnered nearly 29% of the vote. Previous coalition talks led by the ÖVP with the FPÖ collapsed due to various disagreements over critical issues, including EU and asylum policy, as well as the FPÖ's assertive demand to control both the interior and finance ministries—a request the ÖVP declined.

As Austria faces its longest period without a government in modern history, President Alexander Van der Bellen urged the leaders of the three centrist parties to expedite their negotiations. An announcement regarding ministerial positions is anticipated soon.

Stocker characterized the negotiations since September as potentially the most challenging in Austria's history, highlighting the significant issues currently confronting the nation, including the ongoing war in Ukraine, economic challenges, and migration pressure. Stocker, who took over the ÖVP's leadership earlier this year following former chancellor Karl Nehammer's resignation after the first round of coalition discussions fell through, has a long career in local politics and became a member of parliament in 2019.

The newly formed coalition agreement outlines strict new asylum regulations, which include the establishment of return centers for rejected asylum seekers and a suspension of family reunification. Stocker also noted that should asylum applications rise disproportionately, the coalition retains the right to impose an application freeze.

Moreover, the coalition program proposes the development of a constitutional legal ban on headscarves, but it has also emphasized the new government's commitment to a strong and cohesive European Union.

Historically, the ÖVP and SPÖ have frequently governed together in a grand coalition. However, their new alliance holds only a slim majority in parliament with a combined total of 92 seats out of 183, augmented by 18 seats from the Neos.

Although the coalition deal awaits formal ratification from the leadership of the ÖVP and SPÖ, as well as two-thirds approval from Neos members at a convention set for Sunday, political analysts suggest that this three-way coalition is unlikely to cause significant disruptions. Nonetheless, they recognize the immense challenges ahead, particularly concerning their declining popularity, with the ÖVP's support plummeting to 19% from a previous 26% in September.

In contrast, the FPÖ has gained traction since the election, currently polling at nearly 35%. Party leader Herbert Kickl has dismissed the newly formed coalition as a 'coalition of losers' and is advocating for a snap election.

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