Monthly newsletter Hungary – March 2023
Government press conferences in February
At the government press conference on February 9, 2023, Gergely Gulyás, Minister in the Prime Minister's Office, provided information on a number of key issues of the past and new month.
Economic situation
Gulyás went into more detail about the Hungarian economic situation. Despite the crisis, Hungary is keeping its promises. Pensions and wages have risen above the inflation level and the 13th month pension has been paid out. Economic growth above the EU average was maintained: in 2022 the economy grew by 4.6 percent. Despite the war and sanctions, the Hungarian economy has achieved the sixth highest growth rate in the post-war period. Economic growth of 4.6 percent is the second highest among V4 countries (just behind Poland), with the Hungarian economy outperforming the EU (3.6 percent) and Eurozone (3.5 percent) averages. In addition, the Hungarian economy grew two and a half times faster than the German economy (1.9 percent).
Another important goal is to reduce inflation, said Gulyás. A decision should be made before April 30th whether the food price freeze should be maintained or lifted. A recession this year can be avoided; the government is aiming for growth of one and a half percent as a realistic goal.
Energy strategy
In this regard, a plan up to 2030 was presented: nuclear power, solar energy and grid expansion should continue to play an important role in the future. The aim is to use EU funds to build environmentally friendly economic production capacity, apply green technologies, produce hydrogen, support energy research and pilot projects and convert the Danube refinery so that it can process oil from various sources. It is also important to prioritize the purchase and expansion of rail transport and electric buses, as well as hydrogen-powered buses in the future. With regard to wind energy, the aim is to reduce the minimum distance between the boundaries of the communities and the wind farms.
Erasmus funding
The issue of the dispute with the EU over the discontinuation of Erasmus funding due to the participation of active politicians in the boards of trustees of several Hungarian universities, which overshadowed January, was resolved satisfactorily. The government has given in to the EU on this point. Gulyás said that the government was ready to make reasonable compromises with Brussels, so all government ministers resigned from their positions as chairmen of the foundation boards. Gulyás calls on other government officials to do the same.
Government press conference
At the end of February, in another unscheduled government press conference, Minister Gergely Gulyás announced, among other things, Hungary's position on Finland and Sweden's NATO accession. Furthermore, technical preparations are still being made for Viktor Orbán's visit to Kiev, on which a specific date depends. Furthermore, there should always be a country between Russia and Hungary:
“The further we are from Russia, the better.” In doing so, he reaffirmed Orbán's position in parliament.
Finland and Sweden join NATO
A main topic was the accession of Finland and Sweden to NATO. Hungary has an interest in a strong NATO, and the more countries that join it, the stronger it will be if a candidate country that meets the strict criteria applies. The group pointed out that Hungary had repeatedly been subjected to unfounded political attacks from these countries in recent years and that both countries expected more respect towards Hungary. They want to have a dialogue with the two countries.
Pope Francis visits Hungary
Pope Francis' visit to Hungary was also announced. Francis will visit the capital Budapest from April 28th to 30th, where he will be received with a festive reception by President Novák.
Prime Minister Orbán gives state of the nation speech
On February 18, Prime Minister Viktor Orbán gave this year's State of the Nation Address. This time the motto was “Peace and Security”. The situation is serious, said Orbán, but not hopeless, it is even hopeful. 2022 was a year that could have broken the back of the economy and yet in February employment was higher than ever before, foreign exchange reserves were at a record high and the forint had stabilized. “Never before have more people worked, never before have so many exports left the country, never before have there been so many investments.”
Hungary will remain an island of peace and security, said Orbán. Regarding the war in Ukraine, he announced that Europe was currently walking on thin ice and was in danger of becoming involved in a war against Russia. Hungary and the Vatican were the only ones remaining in the peace camp. However, democracy in Europe will show its strength as public opinion is increasingly pro-peace, calling for ceasefires, peace talks, more reason and, if necessary, new governments. NATO would have to remain a defense alliance, not a war alliance.
Economically, they will maintain their economic relations with Russia, and they advise the entire Western world to do so, because without relations there will be neither a ceasefire nor peace negotiations. All countries outside Europe are aware of the limited significance of the war in Ukraine and the priority of their own national interests, Europe should not isolate itself from the sober part of the world. Hungary will not agree to further gas, oil and nuclear sanctions.
Results of the National Consultation on Sanctions
The government announced the official results of the National Consultation on EU war sanctions against Russia in January. On average, 97 percent of those who took part in the survey voted against the EU's sanctions policy. A total of 1,389,000 people took part, 84 percent of whom cast their votes by post and 16 percent via online surveys. Please see the unabridged version for the exact wording of the questions.
Crime reduced by two-thirds in the last decade
According to Bence Rétvári, Parliamentary State Secretary of the Ministry of the Interior, the number of crimes committed has fallen by 60 to 70 percent in the last ten years thanks to the work of Hungarian police officers. The number of crimes in Hungary fell from 447,000 in 2010 to 154,000 last year.
Hungarian aid for earthquake victims in Turkey and Syria
After the violent earthquakes in Türkiye at the beginning of February, several rescue teams from Hungary took part in rescuing survivors and bodies. With more than 150 helpers and dozens of search dogs, the search teams were able to rescue at least 30 survivors. According to official information, the earthquakes in Turkey and Syria caused no Hungarian victims. There were 16 Hungarian citizens in the affected areas at the time of the disaster. At the end of February, Foreign Minister Péter Szijjártó traveled to Ankara and announced that he would send ten tons of aid to southeast Turkey. "Hungary is a friend of Turkey. It is only natural that we stand by our friends in their time of need and continue to provide all the help in our power so that the lives of the Turkish people get back on track as quickly as possible," said Szijjártó.
To the source:
The German-Hungarian Institute for European Cooperation is intended to provide a forum for academic, scientific and political dialogue between Germany and Hungary and to familiarize decision-makers and interested specialist audiences from both countries with topics, debates, processes, thought patterns and ideas from the other country. The aim is to achieve greater understanding, communication and constructive cooperation by objectifying the German-Hungarian discourse and thus renew our Europe together.
We would like to support this goal and publish excerpts with the kind permission of the authors. The complete issue can be found here as a PDF. The institute's website you can reach here.
