May 22, 2019 / 8:49 AM / a year ago

Moody's: Austria reform agenda at risk from govt breakup, "credit negative"

LONDON, May 22 (Reuters) - The breakup of Austria’s ruling coalition government puts the continuation of the government’s reform agenda at risk and is “credit negative”, ratings agency Moody’s said on Wednesday.

On Tuesday, the far-right Freedom Party (FPO) quit the government after the president sided with Chancellor Sebastian Kurz and sacked the hardline FPO interior minister, paving the way for a caretaker government.

“This puts the full implementation of the tax relief package presented at the end of April at risk because it will depend on the composition of the next government,” Moody’s analyst Heiko Peters said in a note to clients.

“We considered the coalition’s fiscal consolidation measures and supply-side reforms credit positive because they support economic growth and improve fiscal metrics.” (Reporting by Karin Strohecker; editing by Sujata Rao)

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below