Major cuts announced in Orbán’s 130-point austerity plan
In a significant financial shift, the Orbán government has decided to scrap or drastically reduce funding for a wide range of projects, including plans for a new Student City, improvements to the Budapest-Belgrade railway, ambulance procurement, and even the renovation of the iconic Chain Bridge.
A 130-point austerity decree
The government issued a 130-point decree in the Hungarian Gazette, bearing Prime Minister Viktor Orbán’s signature, outlining various cost-saving measures that will affect multiple sectors. The cuts primarily involve halting or scaling back additional state support for major ongoing projects, Népszava reports. A recurring phrase throughout the decree, “No further central budget funding is required,” clearly signals the government’s intention to tighten the purse strings. Some initiatives have been scrapped altogether, while others will receive significantly less funding than initially planned.
Student City, Chain Bridge, Opera House affected
Among the affected projects is the Student City development in Budapest, where the government has decided against allocating more funds to acquire the necessary properties.
The historic Chain Bridge and the Buda Castle Tunnel are also losing out, with no more financial support for their reconstruction or the surrounding public areas.
The Hungarian State Opera House, led by Szilveszter Ókovács, is another casualty, with its operational funding also being slashed.
Cuts have extended to Hungary’s cultural memory initiatives as well. The government’s previous commitment to open the House of Fates Holocaust Memorial for Child Victims has been revoked, as has funding for the Museum of the Victims of Communism. Even projects related to genealogical research and family history have seen their budgets shrink.
Bad news for MÁV, medical research and clinical trials
For Hungary’s national railways (MÁV), the decree brings more bad news. A previous decision to fund the assessment of non-essential railway land has now been reversed. Transportation projects in the Városliget area have also been halted, with no further investments planned for the region.
The healthcare sector hasn’t been spared either. The government has shelved its Health Industry Strategy and withdrawn funds earmarked for medical research and clinical trials. Ambulance procurement and local production of ambulances will see major cuts as well, with the government now canceling a previous allocation of over HUF 2.2 billion (EUR 5.6 million).
These are just a few highlights from Orbán’s 130-point decree, which affects numerous sectors with austerity measures aimed at reducing the government’s financial commitments.
Opposition DK calls on govt to abandon ‘austerity‘
The opposition Democratic Coalition (DK) has accused the government of planning to usher in an “austerity package” containing 130 measures. At an online press briefing on Saturday, DK lawmaker László Varjú demanded its withdrawal and charged the government with “entering a spiral of austerity”. “Just as the country is on the point of defending itself, the Orban government is attacking it, stripping families of money and opportunities”.
He accused the government of plotting to prevent local authorities from buying ambulances, to withdraw funding for renovating village byways, and to take away financing from Budapest just when it is fighting the current flood wave. Varjú insisted that more than 4 billion forints was being ploughed into religious education. “So the money’s there, but it isn’t being used for the right purposes,” he said.
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What about to stop burning every year millions and millions of forins on August 21th? Don’t get me wrong but I would prefer to see those fireworks every 2 or 3 years than waiting for a surgery date for 5 years!
Makes sense: You don’t spend money you don’t have.
The…”opposition”…is against it. They whine about literally everything just for the sake of it. Of course they are against this also. After all, the Left and financial probity never mix well.
LEG’S again cut from under-neath us – the tax payers of Hungary, by this GOUGING of our TAXES – Orban – Fidesz Government under Prime Minister – Victor Mihaly. Orban, and “Dud” of a Finance Minister – Mihaly Varga.
PRIORITIZATION – throughout the 15 plus years – Orban, his Fidesz Government of Hungary have been in POWER, all that has occurred in Hungary, in Europe and Globally in those 15 years plus, and the FACT remains, that in those 15 years of Orban – his Fidesz Government they have been a TOTAL cataclysmic DISASTER – in there SPENDING of our Taxes and of course the FRAUDULENCE of Practice in Monies PROVIDED to the Orban led – Fidesz Government of Hungary – received from the European Union.
Orban – the Fidesz Government, have SCUTTLED us as a country, have BLEED us Dry in there spending of our taxes, and BORROWED to levels of DEBT, being tax payers DEBT – that as a Government, is realistically not serviceable.
Government Debt in BORROWINGS from China and Russia and DEBT / Debt – monies OWED to the European Union by the “Crimes” committed by the Orban led – Fidesz Government of Hungary – APPALLING and Heinous.
Hungarians – will continue to be SCREWED – wear the MASSIVE growing PAIN of the DISASTERS caused in our economy by the Orban – Fidesz Government.
WAKE up – we are there ONLY target(s) – to SCREW besides selling more off to Russia and China of our country, to raise MORE Borrowings to endeavour to survive as a country.
Hungarians – our TAXES again ABUSED and we as citizens, there “FODDER” – the Orban – Fidesz Government.
These cuts wouldn’t be happening if this trainwreck of a government didn’t put itself in a position where it is paying a 200 million euro fine plus one million euros per day extra for failure to comply with EU regulations in addition to billions of euros it has forefeited over the past few years over rule of law non-compliance. It has been reduced to begging for money from China, Russia, and other central Asian dictatorships prostituting the country putting Hungary under the control of very malicious actors who give nothing for free. Orban has destroyed Hungary’s finances. Go ahead. Vote Fidesz again in 2026 if you want more of this.
In response to Larry, Hungary will soon find itself in company with Germany and The Netherlands when it comes to their attitude to migrants, and I doubt it will stop there. How long will the European Court’s ridiculous judgement be allowed to stand?
Steiner, I’m all for prudent financial management, in fact, I and others have been calling for it for years. Even the governor of the central bank has but was roundly dismissed and will shortly find his mandate isn’t renewed as punishment for speaking the truth. Don’t spend vastly more than you have is the general rule and one which the government hasn’t been following for years, arguably commencing in 2010. DK is talking nonsense, now is certainly not the time to open the money taps, but hey, it’s their role as the opposition to be seen to be locking horns with the incumbent government so no hard feelings.
The key underlying issue is that they’ve ended up in this financial mess of their own making, spending large without the necessary incoming receipts, failing to secure billions of much needed EU funds and simultaneously failing to repair the roof while the sun shines. Pre-Covid would have been the right time to invest in the fabric of the country when the economy was performing well, growth was strong and public tax receipts positive. Now, at a time when public services including healthcare, education and transport are operating on the absolute minimum to maintain basic service provision (and arguably below), they’re starting to turn the financial screws. Instead of spending the national income wisely, allocating it to the highest priority areas, they spent vast quantities on vanity and pet projects like sports stadiums, buying stakes in telecoms and the airport and shovelling money to the Hungarian middle class as a bribe to have more children, a policy that has abjectly failed but cost the Hungarian taxpayer dearly in the shape of cancelled operations and perenially late trains with 50 year old rolling stock. Let’s not forget about the enormous giveaways amounting to 7% of GDP prior to the last election whose sole purpose was to ensure a resounding Fidesz victory and nothing to do with making the country a better place to live. I’d argue that the only people that have been exhibiting gross financial mismangement are the government of the last 14 years, not the left wing who haven’t been within a country mile of holding any power anywhere in the country. This trainwreck of a government is out of control and needs to be bought to heel before it goes off the rails completely and takes the whole country with it down the pan.