- Title: Austria's new chancellor pushes 'New Deal' for private investment
- Date: 19th May 2016
- Summary: VIENNA, AUSTRIA (MAY 19, 2016) (REUTERS) VARIOUS EXTERIORS OF AUSTRIAN PARLIAMENT BUILDING PARLIAMENTARY SESSION STARTING MINISTERS SITTING DOWN VARIOUS OF PARLIAMENT MEMBERS APPLAUDING (SOUNDBITE) (German) AUSTRIAN CHANCELLOR, CHRISTIAN KERN, SAYING: "No economic growth means more unemployment, even more debt, and we simply can't afford that. That's why I propose to our partners in the government that we develop a project together that one could describe as a 'New Deal'. When you look back in history you will see that the 'New Deal' consisted of several elements, but a decisive one was boost in the short term the will of private investors and entrepreneurs to invest." PARLIAMENT MEMBERS LISTENING (SOUNDBITE) (German) AUSTRIAN CHANCELLOR, CHRISTIAN KERN, SAYING: "In the present situation where we live together in Europe we cannot rely on solving all problems by ourselves. One of our main goals will be to increase the scope for public investments, and we know that this is only possible within the European Union framework." OPPOSITION LISTENING TO KERN'S SPEECH (SOUNDBITE) (German) AUSTRIAN CHANCELLOR, CHRISTIAN KERN, SAYING: "I think that what we all feel is that we have lost a clear vision of the future. It is no longer clear more what our direction is, where we want to lead this country, it is not clear how our future should be shaped." PARLIAMENTARY SESSION (SOUNDBITE) (German) AUSTRIAN CHANCELLOR, CHRISTIAN KERN, SAYING: "Tactical opportunism has replaced political substance and this is what we have to stop. We need to make clear what we stand for because there is one thing I have learned, and that is that people are not passionate about compromises, they are passionate about principles and clear attitudes." APPLAUSE (SOUNDBITE) (German) AUSTRIAN CHANCELLOR, CHRISTIAN KERN, SAYING: "We don't want to relinquish the heads and the hearts of our people to cheap populism, we want to show that we have a positive alternative to that. The countdown to achieve this goal starts today and we have to win the hearts of the people of our country." AUSTRIAN PRESIDENT HEINZ FISCHER LISTENING (SOUNDBITE) (German) AUSTRIAN CHANCELLOR, CHRISTIAN KERN, SAYING: "We want to counter hopelessness with a politics of belief in the future, we want to counter narrow-mindedness with cosmopolitanism, we want to counter chauvinism and agitation against minorities with a commitment to our country and patriotism." VARIOUS OF PARLIAMENT MEMBERS APPLAUDING KERN AND MINISTERS SITTING PARLIAMENTARY SESSION ENDING
- Embargoed: 3rd June 2016 13:43
- Keywords: Christian Kern Austria SPO
- Location: VIENNA, AUSTRIA
- City: VIENNA, AUSTRIA
- Country: Austria
- Topics: Government/Politics
- Reuters ID: LVA0014IH4WUF
- Aspect Ratio: 16:9
- Story Text: Austria's new chancellor Christian Kern on Thursday (May 19) proposed a 'New Deal' to boost private-public investment in the country, which is struggling to keep within European Union deficit limits while economic growth remains sluggish.
"No economic growth means more unemployment, even more debt, and we simply can't afford that. That's why I propose to our partners in the government that we develop a project together that one could describe as a 'New Deal'," Kern said during his inaugural address to parliament.
Kern, a Social Democrat and former head of Austria's state-owned railways, became chancellor on Tuesday (May 17) after his predecessor Werner Faymann resigned amid a party revolt triggered by an embarrassing defeat in presidential elections.
Kern's conservative coalition partners, the People's Party (OVP), have made it a condition for the survival of the government to weed through Austria's sprawling bureaucracy, make working hours regulations more flexible and stick to a tough line on migrants.
Some Austrian entrepreneurs, including the chief executive of steel group Voestalpine, Wolfgang Eder, have for years moaned about the lack of incentives for companies like his to keep investing in Austria and Europe.
The new chancellor said there was little point in creating jobs that do not pay a living wage, but he had no interest in jeopardising the coalition as snap elections would most likely propel the far-right Freedom Party (FPO) into the chancellery.
FPO presidential candidate Norbert Hofer is close to victory over his independent rival in Sunday (May 22)'s run-off vote, which would make him the first far-right head of state elected by an EU country.
Austria, a country of 8.7 million people in which 90,000 asylum claims were made last year, plans to use an exemption for migrant-related costs this year to make sure it stays within EU budget deficit limits. - Copyright Holder: REUTERS
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