EU says to unlock first €4.2bil for Hungary after post-Orban reforms

European Commission has proposed releasing €4.2 billion for Hungary, contingent on the country's implementation of promised post-Orban reforms, according to a statement released on Wednesday. This sum will be channeled towards Hungary's participation in EU student mobility and research initiatives, such as Erasmus+ and Horizon Europe.

Hungarian Prime Minister Peter Magyar spearheaded a reform agenda upon assuming office this year, with the objective of re-establishing Hungary's access to over €16 billion that Brussels had previously frozen due to rule-of-law concerns during Viktor Orban's tenure. EU President Ursula von der Leyen highlighted Hungary's progress in fortifying the rule of law and safeguarding the Union's financial interests, which led to this unlocking of funds.

The proposal for releasing these funds must secure approval from member states within the next month. The EU's decision to unlock these €4.2 billion hinges on Hungary's advancements in areas such as public procurement, anti-corruption efforts, including the reinforcement of the powers of an anti-graft watchdog and the introduction of a comprehensive asset declaration system.

The EU's Commissioner for Budget, Anti-Fraud, and Public Administration, Piotr Serafin, emphasized that Hungary's efforts to protect EU taxpayers' money are now facilitating the flow of billions of euros back into the Hungarian economy.