LMP to turn to top court over Orbán cabinet agreement with IIB

Opposition LMP is turning to the Constitutional Court over an agreement the government signed with the Russia-based International Investment Bank (IIB) on establishing the bank’s headquarters in Budapest, saying that the pact was unconstitutional and posed a risk to national security and Hungary’s sovereignty.

Addressing a press conference in Budapest on Monday, lawmaker Márta Demeter said that under a law passed in March, the IIB’s Budapest headquarters is “fully exempt from the supervision of the Hungarian authorities”.

“Neither the financial or other regulatory authorities nor the police are permitted to set foot in the institution,” Demeter said.

Whereas Hungarian bank clients can only access their accounts after complying with stricter rules on identifying account ownership, the IIB is exempt from complying with Hungarian laws, she said.

In return, Demeter said,

the bank would finance the business activities of certain economic players linked to the government.

As we wrote on June, International Investment Bank has relocated its headquarters to Budapest, becoming the first and only multilateral development bank with Headquarters in the CEE region. According to the Bank’s strategy, the focus will be on providing financial support for sustainable and green initiatives both in Hungary and in the region and on strengthening of economic ties between its member states, read more details HERE.

Agreement on International Investment Bank Budapest headquarters signed – UPDATE

Source: MTI