Austria's finances in jeopardy: coalition wants to make drastic savings!

Austria's finances in jeopardy: coalition wants to make drastic savings!

The view of the coming economic developments in Austria is becoming increasingly exciting, especially after the agreement between the FPÖ and the ÖVP on a common budget path. Within this framework, a savings volume of around 6.3 billion euros is to be achieved this year in order to avoid an EU deficit procedure. This was reported by the crown, while the SPÖ strongly criticizes the implementation and points out a lack of details. Red finance spokesmen are calling for more clarity about the nature of the savings and whether the announced measures will be enough to cover the consolidation needs of 18 billion euros.

The EU Commission is waiting for detailed measures

In this context, Finance Minister Gunter Mayr is planning a trip to Brussels to discuss the financial measures with Valdis Dombrovskis, the EU Commissioner for Economy and Productivity. According to the Commission, concrete measures must be presented by January 21st to avert the threat of the excessive deficit procedure. The daily news reported that the EU Commission will evaluate these measures before the economic and finance ministers in Brussels make a decision. However, the coalition is under pressure as the Greens have already expressed concerns about canceling the climate bonus and other savings, which could burden the population in the future.

The new EU Commission, led by Ursula von der Leyen, will have the challenge of boosting the European economy while fending off pressure from criticism over the nomination of extremist politicians. Von der Leyen has stressed that the EU's economic strength is crucial to its independence and plans to launch several initiatives to ensure this. However, these measures could make the implementation of climate protection strategies more complex.