PM Viktor Orbán’s government could receive billions in EU funds ahead of elections
If the European Commission approves Hungary’s loan application, Prime Minister Viktor Orbán’s government could receive an early tranche of up to EUR 2.43 billion (approx. HUF 950 billion) in EU funds in early 2026—a development that could benefit it during the final stretch of the election campaign.
Joint European armament funded by loans
The EU launched the SAFE program in spring 2025 in response to the deteriorating global security situation and the weakening of U.S. guarantees. From a total credit line of up to EUR 150 billion, EU member states can take out long-term, low-interest loans to finance defense development, arms procurement, and military industry investments.
However, this is not a grant but a favorable EU loan, similar to the financing available under the Recovery Fund for post-pandemic economic recovery.
The European Commission acts as an intermediary on the financial markets, allowing member states to borrow at much lower costs than they could on their own, thanks to the EU guarantee.
According to the Commission, 18 member states have requested SAFE funds so far, totaling more than EUR 127 billion.
The program is particularly valuable for Hungary, as it provides substantial low-interest financial flexibility for defense and industrial development in the coming years. While the loans are aimed at military investments, they could indirectly impact the broader state budget—a politically relevant factor with the 2026 elections approaching.
Hungary could qualify for 16.2 billion
In July, the Hungarian government expressed its intention to participate, and by late October, the European Commission had accepted its national defense investment plan for review. The document details how Hungary intends to use the requested loan, although the specifics have not yet been made public.
Based on submitted plans, Hungary could qualify for a loan of up to EUR 16.2 billion (approx. HUF 6600 billion). While the amount is not final—the Commission’s review will continue until early 2026—if approved, the first pre-financing tranche could become available in the first quarter of 2026.
Poland has shown the highest interest, requesting over EUR 43 billion, while France, Germany, Italy, and Spain are also applying for tens of billions, placing Hungary among medium-sized applicants—but the amount is still significant relative to its economy.
Orbán’s government faces Brussels
Although the SAFE program primarily serves economic and security-policy goals, tensions over Brussels’ funds mean Hungary’s participation has a political dimension. Relations with Brussels are far from smooth, but Hungary has little reason to opt out, as security risks and NATO obligations create shared interests.
Prime Minister Viktor Orbán’s government has emphasized that Hungary’s defense industry is becoming a strategic sector, and SAFE funds could provide stable EU-backed support. If the process goes smoothly, Hungary could receive substantial EU funds in early 2026, just as the election campaign reaches its most intense phase.
Securing these funds could also be politically advantageous for the ruling party, temporarily easing budget pressures and allowing high-profile projects or support programs in the months leading up to the vote.
Featured image: Szecsődi Balázs / Miniszterelnöki Sajtóiroda
They are not “E.U. funds.” A lot of it is our money that we paid into the E.U.’s budget and are getting back. The rest we can view as money we get for putting up with continued membership in that ghastly monstrosity… – not that it’s an amount worth writing home about.
BOTH types of money come with severe strings attached. Even our own money that we’re getting back can only be spent in accordance with E.U.’s diktats. It really beggars belief.
Again your nonsense Steiner at 6:39 AM, come on. Make a coffee, prepare your breakfast!
Do something useful to planet earth!
Firstly, you are not Hungarian!, secondly, it is up to Hungarians to decide whether to stay or leave the Ghastly monstrosity!!!!
I’m not Hungarian either, but like Mr. Steiner, I dare to respond with my full name! It might be unhealthy, but I never eat breakfast in the morning!
Just another commentary of CRAP from Steiner Michael.
Never of Truth nor Facts just through his/hers membership of Fidesz, its “loyalty” to its Demigod, the destructor of Hungary – Victor Mihaly. Orban.
Spring of 2026 = HUMILIATION will be witnessed in the DOWNFALL of Victor Mihaly. Orban and the Fidesz Government.
That’s what the left-wing Democrats thought when Trump left office in 2020! For four years, America was plagued by a senile president!The vice president went down in history as a squealing, clueless cow! In 2024, however, the much-maligned Trump was back at the White House door!