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I suspect something electrical, like the 25-amp fuse, Hall switch, fuel pump/injection relay, the coil or connections. To narrow it down, it would be helpful if you have a test light or voltmeter to take a couple readings.
The right side of fuse 4 should have 12v while the engine is cranking. If it does, then put the test light on terminal 1 of the coil. Crank the engine and the light should flash. If it doesn't, check out the Hall switch.
How old is the fuel pump/injection relay?
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1986 Volvo 245
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