The conservative Austrian People's party yesterday said Josef Pröll, its new leader, would be finance minister in the grand coalition government agreed with the Social Democrats almost two months after September's general elections.

While the government will be led by the Social Democrats, the Austrian People's party will again hold most key portfolios, including finance, foreign affairs, economics, home affairs and justice. Werner Faymann, the Social Democratic leader, will be chancellor, and Mr Pröll will become Austria's deputy leader.