During the election campaign, Péter Magyar pledged that, if victorious, he would do everything in his power to bring about the introduction of the Hungarian euro. After forming a government, he went further, naming 2030 as a target date. For now, however, only the Czech Republic and Sweden appear to stand any realistic chance of adopting the single currency within such a timeframe. Even so, the latest convergence report suggests Hungary’s position is not without hope — though it would require rapid and substantial progress. The details are as follows.
Hungarian euro: the criteria to meet
The European Commission’s newly published 2026 convergence report paints a sobering picture of Hungary’s readiness to join the eurozone. Accession hinges on meeting the so-called Maastricht criteria: price stability, sustainable public finances, exchange rate stability, low long-term interest rates, and the alignment of national legislation with the rules governing the euro system.
Quite apart from the constitutional provision, introduced under Viktor Orbán, that designates the forint as Hungary’s currency — a clause the Tisza Party could swiftly amend — the Hungarian economy faces a series of conditions that would be difficult to satisfy in the short term.
Price stability
Hungary continues to fall short of the price stability criterion. Although inflation has dropped markedly from the record highs seen in 2022–2023, the 12-month average rate still exceeds the reference value. Moreover, developments in energy prices and wage costs continue to pose risks.
Public finances and debt
The budget deficit remains above the 3 per cent of GDP threshold required for Hungarian euro, while public debt also exceeds the EU reference level. According to the Commission, the deterioration in Hungary’s fiscal position represents one of the most significant obstacles to accession.
Exchange rate stability
The exchange rate criterion is likewise unmet. Hungary is not a member of the ERM II mechanism, within which the forint would need to remain for at least two years without significant fluctuations prior to adopting the euro.
Interest rates
Long-term interest rates remain elevated, signalling that financial markets continue to regard the Hungarian economy as riskier than the eurozone’s core members. In addition, legislation governing the operation of the Hungarian National Bank is not yet fully aligned with euro system requirements.
If you missed: When will Hungary join the eurozone? New forecast suggests a later date
Some encouraging signs
That said, the report identifies more positive trends emerging in recent months. Inflation has moderated, while the labour market remains resilient. It also highlights the Hungarian economy’s deep integration with the eurozone, particularly in trade and investment — factors that could support convergence over the longer term.
The convergence report examines five countries: Hungary, the Czech Republic, Poland, Romania and Sweden. In the short term, only the Czechs and the Swedes appear capable of adopting the euro — though neither is politically inclined to do so. Formally, all EU member states are obliged to join the euro, but the rules allow for indefinite delay in practice.
Have you read this one: Hungarian forint breaks records: what lies behind the surge — and can it last?
Featured image: Facebook/bpcorrectchange
