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Austrian Conservatives, Greens Strike Coalition Deal

Reuters

   VIENNA - Austrian conservative leaderSebastian Kurz struck a coalition
   deal on Wednesday with theGreens to ensure his return to power and
   bring the left-wingparty into government for the first time, three
   months afterKurz won a parliamentary election.

   The deal markeda swing left forKurz,whose last coalitionwas with the
   far-right Freedom Party. It also means Austria willjoin fellow European
   Union member states Sweden and Finland inhaving the Greens in
   government, albeit in a junior role, at atime of growing calls for
   urgent action on climate change.

   After a final round of coalition talks on New Year's Day andtwo days of
   leaks of new Cabinet members' names, Kurz and hisGreens counterpart
   said they had struck a deal, as widelyexpected.

   They held off, however, on providing details of theirplans.Those will
   be presented to the public Thursday.

   "We have reached an agreement," Kurz told reporters standingnext to
   Greens leader Werner Kogler.

   The two will become chancellor and vice chancellor of thenew
   government, and the Greens will control just four of 15ministries,
   roughly reflecting their performance in the September29election, which
   Kurz's People's Party won with 37.5% ofthe vote.The Greens came in
   fourth with 13.9%.

   "It is possible to reduce the tax burden and toecologizethe tax
   system," Kurz said, referring to core campaign pledgesof each party and
   hinting at the deal's contents.TheGreenssaidthey wanted an investment
   package in environmental measuresand to make products that damage the
   environment more expensive.