Austria has become the only western European state with a far-right presence in the government.
This has culminated after the Austrian president, Alexander Van der Bellen, approved a controversial coalition deal - between the conservative People's party and the far-right Freedom party on Saturday.
The snap election perpetuated because a previous coalition between chancellor Christian Kern's Social Democrats and the People's party collapsed in May.
The People's party's 31-year-old foreign minister, Sebastian Kurz, becomes the country's new chancellor, and Heinz-Christian Strache, the head of the Freedom party, his deputy, The Guardian reported.
Kurz's party will run ministries including finance, justice and agriculture, and the Freedom party will control the foreign, interior and defence ministries and others.