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Once the center of power for the large Austro-Hungarian Empire, Austria was reduced to a small republic after its defeat in World War I. Following annexation by Nazi Germany in 1938 and subsequent occupation by the victorious Allies in 1945, Austria's status remained unclear for a decade. A State Treaty signed in 1955 ended the occupation, recognized Austria's independence, and forbade unification with Germany. A constitutional law that same year declared the country's "perpetual neutrality" as a condition for Soviet military withdrawal. The Soviet Union's collapse in 1991 and Austria's entry into the European Union in 1995 have altered the meaning of this neutrality. A prosperous, democratic country, Austria entered the EU Economic and Monetary Union in 1999. In January 2009, Austria assumed a nonpermanent seat on the UN Security Council for the 2009-10 term.
border countries:
Czech Republic 362 km, Germany 784 km, Hungary 366 km, Italy 430 km, Liechtenstein 35 km, Slovakia 91 km, Slovenia 330 km, Switzerland 164 km
temperate; continental, cloudy; cold winters with frequent rain and some snow in lowlands and snow in mountains; moderate summers with occasional showers
some forest degradation caused by air and soil pollution; soil pollution results from the use of agricultural chemicals; air pollution results from emissions by coal- and oil-fired power stations and industrial plants and from trucks transiting Austria between northern and southern Europe
party to: Air Pollution, Air Pollution-Nitrogen Oxides, Air Pollution-Persistent Organic Pollutants, Air Pollution-Sulfur 85, Air Pollution-Sulphur 94, Air Pollution-Volatile Organic Compounds, Antarctic Treaty, Biodiversity, Climate Change, Climate Change-Kyoto Protocol, Desertification, Endangered Species, Environmental Modification, Hazardous Wastes, Law of the Sea, Ozone Layer Protection, Ship Pollution, Tropical Timber 83, Tropical Timber 94, Wetlands, Whaling
signed, but not ratified:
none of the selected agreements
landlocked; strategic location at the crossroads of central Europe with many easily traversable Alpine passes and valleys; major river is the Danube; population is concentrated on eastern lowlands because of steep slopes, poor soils, and low temperatures elsewhere
Austrians 91.1%, former Yugoslavs 4% (includes Croatians, Slovenes, Serbs, and Bosniaks), Turks 1.6%, German 0.9%, other or unspecified 2.4% (2001 census)
German (official nationwide) 88.6%, Turkish 2.3%, Serbian 2.2%, Croatian (official in Burgenland) 1.6%, other (includes Slovene, official in Carinthia, and Hungarian, official in Burgenland) 5.3% (2001 census)
976 (Margravate of Austria established); 17 September 1156 (Duchy of Austria founded); 11 August 1804 (Austrian Empire proclaimed); 12 November 1918 (republic proclaimed)
civil law system with Roman law origin; judicial review of legislative acts by the Constitutional Court; separate administrative and civil/penal supreme courts; accepts compulsory ICJ jurisdiction
elections:
president elected by direct popular vote for a six-year term (eligible for a second term); presidential election last held on 25 April 2010 (next to be held on 25 April 2016); chancellor formally chosen by the president but determined by the coalition parties forming a parliamentary majority; vice chancellor chosen by the president on the advice of the chancellor
election results:
Heinz FISCHER reelected president; percent of vote - Heinz FISCHER 79.3%, Barbara ROSENKRANZ 15.2%, Rudolf GEHRING 5.4%
bicameral Federal Assembly or Bundesversammlung consists of Federal Council or Bundesrat (62 seats; members chosen by state parliaments with each state receiving 3 to 12 members in proportion to its population; members serve five- or six-year terms) and the National Council or Nationalrat (183 seats; members elected by direct popular vote to serve five-year terms)
elections:
National Council - last held on 28 September 2008 (next to be held by September 2013)
election results:
National Council - percent of vote by party - SPOe 29.3%, OeVP 26%, FPOe 17.5%, BZOe 10.7%, Greens 10.4%, other 6.1%; seats by party - SPOe 57, OeVP 51, FPOe 34, BZOe 21, Greens 20
Alliance for the Future of Austria or BZOe [Josef BUCHER]; Austrian People's Party or OeVP [Josef PROELL]; Freedom Party of Austria or FPOe [Heinz Christian STRACHE]; Social Democratic Party of Austria or SPOe [Werner FAYMANN]; The Greens [Eva GLAWISCHNIG]
Austrian Trade Union Federation or OeGB (nominally independent but primarily Social Democratic); Federal Economic Chamber; OeVP-oriented Association of Austrian Industrialists or IV; Roman Catholic Church, including its chief lay organization, Catholic Action
other:
three composite leagues of the Austrian People's Party or OeVP representing business, labor, farmers, and other nongovernment organizations in the areas of environment and human rights
three equal horizontal bands of red (top), white, and red; the flag design is certainly one of the oldest - if not the oldest - national banners in the world; according to tradition, in 1191, following a fierce battle in the Third Crusade, Duke Leopold V of Austria's white tunic became completely blood-spattered; upon removal of his wide belt or sash, a white band was revealed; the red-white-red color combination was subsequently adopted as his banner
Austria, with its well-developed market economy and high standard of living, is closely tied to other EU economies, especially Germany's. Its economy features a large service sector, a sound industrial sector, and a small, but highly developed agricultural sector. Following several years of solid foreign demand for Austrian exports and record employment growth, the international financial crisis and global economic downturn in 2008 led to a recession that persisted until the third quarter of 2009. Austrian GDP contracted 3.5% in 2009 but it will probably see positive growth of nearly 2% in 2010. Unemployment has not risen as steeply in Austria as elsewhere in Europe, partly because its government has subsidized reduced working hour schemes to allow companies to retain employees. Such stabilization measures, stimulus initiatives, and the government's income tax reforms pushed the budget deficit to about 4% of GDP in 2009, from only about 1.3% in 2008. The Austrian economy has benefited greatly in the past from strong commercial relations, especially in the banking and insurance sectors, with central, eastern, and southeastern Europe, but these sectors have been vulnerable to recent international financial instabilities. Some of Austria's largest banks have required government support - including in some instances, nationalization - to prevent insolvency and possible regional contagion. In the medium-term all large Austrian banks will need additional capital. Even after the global economic outlook improves, Austria will need to continue restructuring, emphasizing knowledge-based sectors of the economy, and encouraging greater labor flexibility and greater labor participation to offset growing unemployment and Austria's aging population and exceedingly low fertility rate.
construction, machinery, vehicles and parts, food, metals, chemicals, lumber and wood processing, paper and paperboard, communications equipment, tourism
general assessment: highly developed and efficient
domestic:
fixed-line subscribership has been in decline since the mid-1990s with mobile-cellular subscribership eclipsing it by the late 1990s; the fiber-optic net is very extensive; all telephone applications and Internet services are available
international:
country code - 43; satellite earth stations - 15; in addition, there are about 600 VSATs (very small aperture terminals) (2007)
18-35 years of age for compulsory military service; 16 years of age for male or female voluntary service; service obligation 6 months of training, followed by an 8-year reserve obligation; conscripts cannot be deployed in military operations outside Austria (2009)
while threats of international legal action never materialized in 2007, 915,220 Austrians, with the support of the newly elected Freedom Party, signed a petition in January 2008, demanding that Austria block the Czech Republic's accession to the EU unless Prague closed its nuclear power plant in Temelin, bordering Austria
transshipment point for Southwest Asian heroin and South American cocaine destined for Western Europe; increasing consumption of European-produced synthetic drugs
The online Factbook is updated bi-weekly. ISSN 1553-8133
For additional information on government leaders in selected foreign countries, go to World Leaders.
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