Austrian parties face tough coalition talks

Significance The far-right Freedom Party (FPO) won the September 29 general election, but the OVP has rejected the prospect of forming a government with it, mainly due to personnel clashes. Chancellor Karl Nehammer, the OVP’s leader, said there is a “50-50” chance of the OVP, SPO and NEOS reaching an agreement. Impacts If coalition talks break down and an alternative to fresh elections cannot be found, the FPO would likely win the polls. Should the three parties form a government, it would probably take a more business-friendly approach to climate change. Austria will likely maintain support for providing assistance to Ukraine in its war against Russia.