opposition Hungary
Photo: MTI

Opposition women lawmakers are submitting a joint amendment proposal to parliament to extend a moratorium on forced evictions from the end of April until the situation of FX loanholders is settled.

Independent Bernadett Szél told a press conference that their common aim was to prevent forced evictions based on unfair contracts which have been condemned even by the European court (CJEU). The Hungarian government has now nothing to do but enforce the decision and not allow anyone to be thrown out on the street, she added.

Conservative Jobbik MP Andrea Varga-Damm said

“[Viktor] Orbán’s government has failed to resolve the issue because they have acquired significant shares in the banks which are now practically making money for Orbán and the government oligarchs.”

Liberal Anett Bősz, sitting in parliament as an independent, said that in the absence of a social net victims of evictions should be protected by NGOs.

Socialist lawmaker Ágnes Kunhalmi said resolving the situation of FX loanholders was a “national issue” but the government has made only facelift measures so far.

Tímea Szabó of Parbeszéd said the victims of evictions had been cheated by the government and banks.

Ágnes Vadai of the Democratic Coalition said the government failed to provide support for accommodation despite banning living in the streets.

Representatives of the NGO Adóskamara told the press conference that the moratorium on forced evictions must be extended and the situation of FX loanholders must be resolved in line with the CJEU’s latest ruling.

Europe’s top court said in a ruling on March 14 that Hungarian laws should allow the cancellation of FX loan contracts if the contract includes an unfair provision relating to exchange-rate risk.

In 2014, the Hungarian parliament passed several laws designed to amend unfair terms of FX loan contracts on which repayments skyrocketed when the forint plummeted during the 2008 financial crisis. However, the exchange-rate risk remained a risk borne by the borrower. Hungarian laws have so far prohibited retroactive cancellation of contracts by the loan holder on the ground of unfair terms in the contract.

Gergely Gulyás, the head of the Prime Minister’s Office, commented on the proposal at a regular press briefing saying that

FX loan holders in difficulties should be distinguished from “those who refuse to pay their utility bills”. A moratorium would further encourage that behaviour, he said.

Source: MTI

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