Following the success of the coup, which counted on the Romanian neutrality and the tacit support of the British and the Italians, on 7 August 1919 Friedrich was named prime minister while the archduke became regent.
After a one-week transitional period lasting until 15 August, his cabinet was composed primarily of former members of the government of Prime Minister Mihály Károlyi, belonging mainly to the more conservative wing of his Independence Party, which had split during his rule.
Friedrich founded his own party Christian National Party (KNP) but it did not have mass support.
He was far to the left of the counter-revolutionaries who had plotted the coup against the Peidl government and attempted to carry out, ultimately unsuccessfully, the moderate program that had originally been proposed at the beginning of the government of Károlyi.
His government was even weaker than Peidl's and was little more than a collection of conspirators and unknown figures, without members of the nobility that could serve to attract the counterrevolutionary right.
The cabinet could not count on British nor Italian military aid, given the practical absence of troops from these countries in the capital, nor could it count on Romanian aid, whose units occupied the city and the eastern territories.
The government of Bucharest refused to recognise the Friedrich cabinet.
The government of Szeged and the French, for their part, almost immediately tried to do away with the Friedrich government or, if this was impossible, to alter its composition.
The neighbouring states, fearful of a restoration of the Habsburgs, supported the French position and showed their opposition to the appointment of Archduke Joseph.

After the seizure of power, Friedrich tried to limit reckoning with the former government's criminals, without much success.
Attacks were soon launched on Jews, accused by many reactionaries of being responsible for the Soviet government and any crimes committed during its period.
In spite of this, in mid-August he had succeeded in forming a broad coalition government which, however, was not joined by the Socialists.
Without these, the Entente refused to recognise the government.
The Entente feared that the government, with a ruler from the ancient imperial family, would restore the dynasty.

On 7 August, Friedrich abolished institutions of the Hungarian Soviet Republic and instituted private ownership in industry, commerce and agriculture, following decrees which abrogated the Soviet legacy from the former Peidl Government.

On 23 August, the Archduke decided to resign the regency before opposition from the powers; Friedrich thus lost one of the pillars of his government and the post of head of state remained unfilled.

His attempts to create a military force loyal to his government, independent of the National Army and theoretically subordinate to the government of Szeged, failed due to the Romanian opposition.
The few units that managed to reunite mostly defected to the side of Miklós Horthy when they entered Szeged, after evacuating it of the Romanian formations.

Militarily limited, Friedrich tried to politically underpin his government during August and September with successive modifications of the cabinet, first to the left and then to the right, without thereby achieving the recognition of the Entente.
With each change of government, refugees, and especially Viennese counterrevolutionaries, were gaining power.
Despite failing to achieve recognition of the major powers, the alliances resulted in the formation of a powerful new political party, the Christian National Union Party (KNEP).
This party, created in October, brought together important politicians from the northwestern territories of Hungary, the Catholic Church and certain refugees from Transylvania, such as those grouped around István Bethlen and Pál Teleki.
Part of the upper-class bourgeoisie also supported the new organisation.
The government of Szeged, which had recognised Friedrich's government, had disappeared; the main weakness of this government was the military, and the
Following the success of the coup, which counted on the Romanian neutrality and the tacit support of the British and the Italians, on 7 August 1919 Friedrich was named prime minister while the archduke became regent. After a one-week transitional period lasting until 15 August, his cabinet was composed primarily of former members of the government of Prime Minister Mihály Károlyi, belonging mainly to the more conservative wing of his Independence Party, which had split during his rule. Friedrich founded his own party Christian National Party (KNP) but it did not have mass support. He was far to the left of the counter-revolutionaries who had plotted the coup against the Peidl government and attempted to carry out, ultimately unsuccessfully, the moderate program that had originally been proposed at the beginning of the government of Károlyi. His government was even weaker than Peidl's and was little more than a collection of conspirators and unknown figures, without members of the nobility that could serve to attract the counterrevolutionary right. The cabinet could not count on British nor Italian military aid, given the practical absence of troops from these countries in the capital, nor could it count on Romanian aid, whose units occupied the city and the eastern territories. The government of Bucharest refused to recognise the Friedrich cabinet. The government of Szeged and the French, for their part, almost immediately tried to do away with the Friedrich government or, if this was impossible, to alter its composition. The neighbouring states, fearful of a restoration of the Habsburgs, supported the French position and showed their opposition to the appointment of Archduke Joseph.
After the seizure of power, Friedrich tried to limit reckoning with the former government's criminals, without much success. Attacks were soon launched on Jews, accused by many reactionaries of being responsible for the Soviet government and any crimes committed during its period. In spite of this, in mid-August he had succeeded in forming a broad coalition government which, however, was not joined by the Socialists. Without these, the Entente refused to recognise the government. The Entente feared that the government, with a ruler from the ancient imperial family, would restore the dynasty.
On 7 August, Friedrich abolished institutions of the Hungarian Soviet Republic and instituted private ownership in industry, commerce and agriculture, following decrees which abrogated the Soviet legacy from the former Peidl Government.
On 23 August, the Archduke decided to resign the regency before opposition from the powers; Friedrich thus lost one of the pillars of his government and the post of head of state remained unfilled.
His attempts to create a military force loyal to his government, independent of the National Army and theoretically subordinate to the government of Szeged, failed due to the Romanian opposition. The few units that managed to reunite mostly defected to the side of Miklós Horthy when they entered Szeged, after evacuating it of the Romanian formations.
Militarily limited, Friedrich tried to politically underpin his government during August and September with successive modifications of the cabinet, first to the left and then to the right, without thereby achieving the recognition of the Entente. With each change of government, refugees, and especially Viennese counterrevolutionaries, were gaining power. Despite failing to achieve recognition of the major powers, the alliances resulted in the formation of a powerful new political party, the Christian National Union Party (KNEP). This party, created in October, brought together important politicians from the northwestern territories of Hungary, the Catholic Church and certain refugees from Transylvania, such as those grouped around István Bethlen and Pál Teleki. Part of the upper-class bourgeoisie also supported the new organisation. The government of Szeged, which had recognised Friedrich's government, had disappeared; the main weakness of this government was the military, and the
István Friedrich