Far-right Freedom Party has another chance as Austria goes for snap elections after mainstream parties announced end of their grand coalition. The government run by Social Democrats (SPÖ) and People’s Party (ÖVP) has been facing tough times over the past few months. However, after ÖVP leader and Vice Chancellor Reinhold Mitterlehner resigned from his post last week, the political environment in Austria has heated up once again. The events have offered Freedom Party another chance in Austria.

On Monday, the alliance partners running the current government have agreed to support a motion for early elections. The elections could be held in October this year. After recently concluded French Presidential elections, European leaders were feeling relief as Emmanuel Macron defeated far-right leader Marine Le Pen. Euro witnessed a strong move against USD and other currencies after French elections. However, markets could expect volatility in coming months as Austria heads for another election. Germany will also be facing elections and European Union could face more turbulence in coming months.

FPÖ leader Heinz-Christian Strache is an aggressive politician and we can expect strong campaign for the upcoming elections. Anti-EU and anti-immigration FPÖ could try to divide the Austrian voters on these two major issues.

Commenting on the move, Sebastian Kurz said: “We have decided that we are starting a movement, that we are relying on valued forces within the People’s Party but at the same time bringing new people on board.”

Meanwhile, Chancellor Christian Kern accused his coalition partners of betrayal. Recent opinion polls suggest lead for far-right party over Social Democrats and ÖVP ranks third in terms of voter choice.