Deutsche Presse-Agentur
February 10, 2012

Austria is planning to introduce budget cuts and higher taxes totalling 27 billion euros (36 billion dollars) over the next five years, in a package that was to be decided by the cabinet on Friday.

The austerity measures came after rating agency Standard & Poor’s stripped Austria of its top ranking last month and the government responded by vowing to reclaim its AAA status.

Pensioners and public servants are to bear a large part of the savings, through lower or deferred pay raises, according to statements by politicians and media reports.

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