Austrian chancellor Karl Nehammer to resign after coalition talks fail | EUROtoday

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Austrian Chancellor Karl Nehammer mentioned Saturday he’ll resign within the coming days after talks on forming a brand new authorities failed a second time.

The announcement got here after the People’s Party and the Social Democrats continued coalition talks a day after the liberal Neos celebration’s shock withdrawal from discussions.

“Unfortunately I have to tell you today that the negotiations have ended and will not be continued by the People’s Party,” Austrian Chancellor Karl Nehammer from the conservative People’s Party mentioned in an announcement on social media.

He mentioned that “destructive forces” within the Social Democratic Party have “gained the upper hand” and that the People’s Party won’t signal on to a program that’s in opposition to financial competitiveness.

Social democratic chief Andreas Babler mentioned he regretted the choice by the People’s Party to finish the negotiations. “This is not a good decision for our country,” he mentioned.

Mr Babler mentioned that one of many primary obstacles needed to do with the best way to restore the “record deficit” left by the earlier authorities.

“I’ve provided to Karl Nehammer and the People’s Party to proceed negotiating and known as on them to not stand up,” he instructed reporters Saturday night.

The subsequent authorities in Austria faces the problem of getting to save lots of between 18 to 24 billion euros, in response to the EU Commission. In addition, Austria has been in a recession for the previous two years, is experiencing rising unemployment and its finances deficit is at present at 3.7 per cent of Gross Domestic Product – above the EU’s restrict of three per cent.

The talks had dragged on since Austria’s president tasked the conservative chancellor in October with placing collectively a brand new authorities. The request got here in spite of everything different events refused to work with the chief of the far-right Freedom Party, which in September gained a nationwide election for the primary time with 29.2 per cent of the vote.