The steering group of the coalition negotiators will meet on Friday for an open-ended session. The situation is currently described as rather dramatic. If no compromises are found on budget issues during the round, the talks could even break down prematurely or at least one of the three negotiating parties could withdraw. It is still outstanding within what timeframe the budget should be consolidated and whether independently or within the framework of an EU procedure.

Budget Issues to Be Resolved in Open-Ended Meeting

ÖVP and NEOS would prefer to tackle the whole thing independently without the involvement of the Union. The SPÖ, on the other hand, argues that the option of a deficit procedure would bring a gentler start to savings, especially at the beginning. In addition to this structural question, it is open how the budget should be consolidated.

The SPÖ continues to insist that revenue-side restructuring is also necessary and definitely wants the wealthy to contribute more. Especially the economic wing of the ÖVP, which is overly critical of cooperation with the SPÖ anyway, and the NEOS reject tax measures.

"Sweetheart Coalition" Threatens to Fail

Friday is now intended to be a first last attempt to at least agree on a common path and possibly on the still missing lighthouse projects. If this does not succeed, a premature failure is not ruled out from several sides. It is also conceivable that only one partner, in case of doubt probably the NEOS, withdraws from the negotiations.

(APA/Red)

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