Week of decisions: coalition negotiations before the breakthrough?

Week of decisions: coalition negotiations before the breakthrough?

The focus this week is the coalition negotiations between the ÖVP, SPÖ and NEOS, which will continue on Tuesday. These conversations are of crucial importance because they take place in the middle of a serious budget crisis. The fiscal council has disclosed a huge budget hole of up to 25 billion euros that the upcoming government has to close. Chancellor Karl Nehammer (ÖVP), SPÖ boss Andreas Babler and NEOS chairwoman Beate Meinl-Reisinger lead the negotiations. In a first round, the parties were unable to reach an agreement, especially because of different economic views and the question of how the need for consolidation should be tackled. According to information from Today.

sticking point budget -loch

The discussion about the immense Budget -Loch is increasingly becoming a central challenge of the negotiations. As political scientist Kathrin Stainer-Hämmerle explained to orf.at , there are significant differences between the three parties on questions of economic policy and taxation. While SPÖ calls for an introduction of wealth taxes, the ÖVP vehemently rejects it. Warned before a possible stopover. Nevertheless, NEOS is optimistic about necessary structural reforms, emphasizing that an initiation of a deficit procedure should not be the goal.

The debate about sources of income and savings dominates, but there are also initial progress in other areas. For example, cooperation in migration, Integration and health is considered more likely, while in the education sector possible referendums on disputed topics such as comprehensive schools could be considered. According to ÖGB President Wolfgang Katzian, there are opportunities for an agreement on a compromise from income and output side at 50:50. It is expected that the control group, consisting of the party leaders and other important actors, will make decisive progress this week.

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