However, Ukrainian authorities have given the 57-year-old Austrian five days to leave the country, Austria's justice ministry said.
"The Austrian embassy in Kiev has informed us that there has been a negative extradition decision and that Mister Seisenbacher has to leave the country by October 12th," ministry spokeswoman Britta Tichy-Martin told the Austria Press Agency.
The double Olympic champion was arrested in Kiev at Vienna's request on August 1st after seven months on the run.
Seisenbacher was then released in mid-September pending the extradition hearing.
He had been due to face trial in Austria last December over charges that he sexually abused two girls he was coaching in Vienna between the late 1990s and early 2000s.
He allegedly abused one of them from the age of 11, over a three-year period. He was also accused of having attempted to sexually assault a third girl.
Prosecutors in Vienna issued an international warrant for his arrest after he failed to turn up for a court hearing.
Seisenbacher, who won middleweight gold in Los Angeles in 1984 and again in Seoul four years later, then dropped off the map.
There were even rumours he may have committed suicide until he resurfaced in Ukraine earlier this year.
Kiev officials told AFP last month that, according to the country's law, the statute of limitations to prosecute him in Ukraine had expired.
Seisenbacher, who is also a former world and European champion, has always refused to comment on the allegations against him.