Austrian leadership stalement settled by share deal

After three months of gruelling talks, Austria’s main parties have agreed on a ruling grand coalition. The deal between the centre-left and conservatives will see Social Democratic leader, Alfred Gusenbauer, become chancellor. His party will run the defence, justice, education and social affairs ministries while Wolfgang Schuessel’s Peoples Party will be in charge of finance, the interior and foreign portfolios.

Schuessel said the outcome would allow the government to carry out his party’s main objectives: “We want to invest in the future of our country and that’s why the major part of our extra spending will go towards economic growth , job creation and education,” he said. “We believe that these sectors are the motors of our future social development and wealth,” he added. The two sides also agreed to change the length of government terms to five years from four, after the next election.

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