In Uzbekistan the makhalla institute — a key platform for promoting human dignity

The makhalla serves as a social space, acting as a bridge of trust between society and the state, fostering socialization and cultivating a spirit of tolerance and commitment to the well-being of the community. Across our country, there are 9,435 makhallas, each with a unique name that carries deep historical significance. These names embody the centuries-old, rich history of our people, reflecting its socio-political and economic life, as well as its cultural heritage.

Today, the makhalla plays an active role across all spheres of our social life. Its contributions have become increasingly significant in fostering entrepreneurship, supporting employment, reducing poverty, providing social assistance, and addressing a wide range of socio-economic issues. The primary goal of reforming the makhalla institution is to create dignified living conditions for the population and improve the quality of services delivered.

The makhalla and its management system represent not only a community or place of residence but a fully developed institution of civil self-governance. It plays a vital role in enhancing the socio-political and cultural engagement of the population, strengthening respect for the historical values of the Uzbek people, promoting adherence to ethical standards and accountability in interpersonal relations, and ensuring the diligent fulfillment of civic responsibilities toward society.

Currently, strengthening our country’s prestige and authority, ensuring national unity, and preserving state integrity are being achieved, in part, through the delegation of certain government powers to the makhalla institution. This approach fosters closer engagement between the population and public administration processes, enhances citizens’ trust and confidence in the state, and creates conditions for the elevation of human dignity.

The “Uzbekistan – 2030” Strategy, approved by the Presidential Decree of the Republic of Uzbekistan on September 11, 2023, warrants special attention, as it prioritizes large-scale efforts to build a people-centered state and to enhance the public administration system. In particular, Goal No. 74 focuses on improving the population’s well-being and transforming the makhalla into a “connecting bridge” between society and government bodies, which will aid in addressing everyday issues and improving living conditions in the regions.

Furthermore, plans include transferring at least 30 percent of the responsibilities and functions of agencies such as finance, taxation, and employment to the makhalla level, as well as organizing the provision of over 100 government services within makhallas in a “one-step access” format.

A key element of the new system is the role of the “makhalla seven”  team in identifying and mobilizing the makhalla’s internal resources to deliver social services and assistance to residents. Efforts by representatives of government bodies and organizations working within makhallas are now coordinated to ensure the timely and effective resolution of local issues.

A legislative system regulating the activities of the makhalla institution has been established in the Republic of Uzbekistan. Article 127 of the new edition of the Constitution of the Republic of Uzbekistan states that “… the self-governing bodies of citizens, in accordance with the law, shall have the right to independently resolve issues of local importance, based on the interests of citizens, historical features of development, as well as national values, local customs, and traditions”. The primary regulatory act governing the activities of makhallas is the Law of the Republic of Uzbekistan “On Self-Governing Bodies of Citizens”, adopted on April 14, 2013.

In the Republic of Uzbekistan, self-governing bodies of citizens can be regarded as territorial public associations. Recognizing the makhalla institution as an integral part of the socio-political authority highlights its fundamental distinction from non-governmental non-profit organizations. Self-governing bodies are established on the basis of territoriality and operate within administrative-territorial units.

A number of regulatory acts have recently been adopted to reform the activities and management of makhallas. In particular, the decree of the President of the Republic of Uzbekistan, dated December 21, 2023, titled “On Measures to Radically Enhance the Role of the Makhalla Institute in Society and Ensure Its Functioning as a Primary Link in Addressing Population Issues,” established the “Makhalla Seven” structure, which includes the makhalla chairperson, the hokim’s assistant, a youth leader, a women’s issues activist, a preventive inspector, a social worker, and a tax inspector.

As of January 1, 2024, the “Makhalla Budget” system was introduced in all districts and cities. Under this system, each makhalla’s budget is allocated: 10 percent of the funds collected from property and land taxes from individuals (excluding property and land taxes on non-residential premises); 10 percent of fees collected for public services provided through makhalla authorities; proceeds from the sale of state-owned real estate within the makhalla’s territory up to 2,000 square meters, sold via direct online auctions at the request of the hokim’s assistant (after deducting appraisal and sale costs); and revenues from leasing makhalla-owned property according to established procedures.

Ensuring employment and engaging the population in entrepreneurship through identifying “growth points” and implementing “driver projects” within makhallas, as well as developing entrepreneurship based on public-private partnerships, are aimed at reducing poverty and increasing incomes—key objectives of the makhalla work system. At the President’s initiative, large-scale measures have been launched to improve the population’s standard of living. In particular, the decree of the President of the Republic of Uzbekistan, dated September 23, 2024, On Bringing Measures to Reduce Poverty and Improve the Well-Being of the Population to a New Stage, and the Resolution of the President of the Republic of Uzbekistan, dated September 23, 2024, On Priority Measures for the Implementation of the “From Poverty to Prosperity” Program, have elevated Uzbekistan’s poverty reduction policy to a qualitatively new level.

Furthermore, the experience of the Saykhunobod, Uychi, Gijduvan, and Zarbdor districts in the socio-economic development of makhallas in Uzbekistan serves as a unique national model for poverty alleviation. Presidential documents of the Republic of Uzbekistan emphasize that achieving these goals requires not only material support but also a comprehensive approach encompassing economic, spiritual, social, and educational measures. Notably, these documents highlight the importance of psychological and motivational support mechanisms for the population in a market economy.

Key initiatives planned for 2024-2025 are aimed at systematically reducing poverty, with a focus on priority areas and regional target indicators. This program includes infrastructure improvements in 1,000 makhallas facing the most challenging conditions, including enhanced irrigation of household plots, a stable electricity supply, repair of internal roads, and improved internet access. Additionally, “Green Makhalla” projects have been launched.

Work has begun on assessing low-income families using a standardized questionnaire, which allows for the creation of a social profile for each family and the development of individualized poverty reduction plans. These plans, which cover social services and assistance, healthcare, housing, employment, education, and behavioral aspects, are developed by social workers and assistants to hokims, with regular monitoring of their effectiveness and outcomes. 

Plans include allocating 50,000 hectares of land for long-term leases of up to 30 years for low-income families. Additionally, a practice is being introduced to assign 14,000 local leaders and their deputies to support these families.

The Decree of the President of the Republic of Uzbekistan, dated December 21, 2023, established the Makhalla Association of Uzbekistan. 

The Association’s tasks include: unifying, coordinating, and directing the efforts of government representatives and organizations within makhallas to ensure timely and effective resolution of makhalla issues; 

increasing the financial resources of makhallas and ensuring the targeted and specific allocation of budget and other funds for low-income families; 

improving the material and technical support of makhallas, centralizing the distribution of funds allocated to them, and implementing modern information and communication technologies in the sector; 

and enhancing the qualifications of responsible makhalla officials, assisting in the development of modern management skills.

In Uzbekistan, over the past few years, the poverty rate has declined to 11 percent by the end of 2023, thanks to income opportunities provided to 3.5 million people.

read also: Improving the electoral system is an important demand of democracy in New Uzbekistan

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Danube Startup Summit: Empowering the Next Generation of  Young Entrepreneurs 

Danube Startup Summit is an event for young people to hear valuable insights from successful people.

Innovation in Eastern Europe is undoubtedly struggling. Think of the brands changing our lives: huge businesses such as Apple, Meta, Windows, and Nvidia are all based in the United States,  with little to none of this caliber based in Eastern Europe. A particularly startling statistic shows this economic discrepancy between unicorn companies per population in the U.S. as opposed to Europe and Eastern Europe. The term “unicorn company” refers to a privately owned startup valued at over US$1 billion, and currently, there are 712 based in the United States for a population of almost 350 million, while in the entirety of Europe, there are 202 for a population of nearly 750 million. Therefore, there are more than ten times as many unicorn companies per capita in the United States than there are in Europe, and even more staggeringly, for a population of nearly 300 million, there are only approximately 15 in Eastern Europe, almost 100  times less. Think of all the innovation, economic growth, and quality of life we miss out on due to stumped business growth and development.  

We believe that the root of this cause can be majorly attributed to culture. The mere existence of places such as Silicon Valley or New York prove the effort and resources nations such as  America put into developing startups, locating new ideas, and providing investment, something sorely needed in Hungary and Eastern Europe alike. Jared Schrieber, American Billionaire, Hungarian superangel, and a speaker at our upcoming event, said it best: “If I had started my business in Hungary, I would have failed right out the gate.” He expands by saying that in order for a Startup to grow into a unicorn, a symbiotic dance of dozens of key components must work in harmony. Great lawyers, investors, and partners are essential, just to name a few. The Danube Summit aims to help create this very ecosystem, specifically addressing the capture and mentorship of young talent, catapulting Eastern Europe into a competitive, valuable startup landmark.  

On January 18th, 2025 our first event will take place at Engame Academy, featuring speakers such as Jared Schrieber, a Californian dollar billionaire tech entrepreneur; Nagy György, one of the wealthiest Hungarian entrepreneurs and founder of the Wallis group; and Daniel Balla, CPO  and co-founder of Bitrise, Hungary’s very own unicorn company. Our amazing speakers give direct opportunities for mentorship and general advice and will share their difficulties and experiences in regards to successful entrepreneurship. Our attendees will also get the chance to meet amazing like-minded young entrepreneurs and build connections. If that weren’t enough, the event is free and is exclusive for anyone aged 21 and under, and we welcome all attendees with complimentary drinks and food. Let’s make our dreams into reality, and let’s help each other do so.  

The Danube Startup Summit is funded by George Mason University and partnered with the Global Young Entrepreneur Society (GYES) and Daily News Hungary. Our founders are Ferenc Deli Szilágyi (fs*******@da**********.org) (18), Dániel Gerlei (dg*****@da**********.org) (17) and Filip Cerny (18) (fc****@da**********.org). 

VENUE:  Engame Academy – Budapest, Maros utca 12, 1122,

DATE & TIME: January 18th, 2025, 15:30-20:00

Registration: Eventbrite

More information: Danube Summit Website

More programs: 

UNCHAIN Fintech Festival returns in 2025 in Oradea-Nagyvárad

New exhibition showcases the legacy of Hungary’s iconic painter Munkácsy – details & photos

Top Hungary news: reborn Exchange Palace, Constitution and election law, EC, Lego & Semmelweis, Trump to end war – 17 December, 2024

We’ve rounded up the top Hungary news from today.

Featured Hungary news

5 Hungarian customs that are difficult for foreigners to get used to

Get ready, Budapest: Major overpass makeover set to begin— traffic restrictions ahead

Major renovation underway for Budapest’s historic Exchange Palace on Szabadság Square – visual and details HERE

Hungarian Parliament’s final session brings key amendments to the constitution, election act, and more

Lego & Semmelweis

Great news: Budapest’s beloved LEGO tram extends its stay

Semmelweis University’s timeless buildings are about to get a high-tech makeover – details and PICTURES!

Decisions of the European Commission

It’s over: European Commission has decided on Hungarian funds

Infertility treatments in Hungary: European Commission demands action

Politics

How much do Hungarians trust Trump to end the Russia–Ukraine war? – New survey

Government Office takes Budapest Municipality to court over alleged unlawful operation, details HERE

Hungarian EU Presidency makes milestone progress on enlargement for Serbia, Montenegro, and Albania, details HERE

Economy, business

Hungary falls behind as Romanian and Bulgarian wages surge

Hungarian policymakers set base rate at the year’s final meeting – update

Orbán cabinet: US investors queue up amid improving relations

USA Hungary

US companies are open to making investments in Hungary that rival the size of Asian investments currently taking place in the country, building on the projected improvement in bilateral relations, Levente Magyar, a state secretary at the Ministry of Foreign Affairs and Trade, said in Washington after winding up business talks in Florida.

In a statement sent to MTI, he said there could be opportunities for US investments worth many billions of dollars in Hungary.

Magyar said the negotiations showed that improving political relations was a prerequisite for the dynamic growth of economic ties. He said “there are investors waiting in line who are ready to bring very serious capital to Hungary once there is a US administration that will strive to improve relations”.

He noted that his talks on strengthening economic ties built on the fact that Prime Minister Viktor Orbán met with US President-elect Donald Trump in Palm Beach a week earlier. Related article – Orbán: ‘I trust after Donald Trump takes office, we will experience its beneficial effect.’

Among the people with whom Magyar met was the investor Tamás Péterffy.

US Ambassador criticisms

Meanwhile, the US ambassador David Presman to Hungary has strongly criticised the Hungarian government at an event over corruption, its close ties with Russia and China:

latest: How much do Hungarians trust Trump to end the Russia–Ukraine war? – New survey

Semmelweis University’s timeless buildings are about to get a high-tech makeover – PICTURES!

Semmelweis University is set to undergo a transformative journey, combining the preservation of its historic city-centre buildings with state-of-the-art infrastructure to support education, research and healthcare. This ambitious project respects the architectural heritage of iconic sites while integrating cutting-edge facilities, ensuring that tradition becomes the foundation for future innovation.

Semmelweis University: modernisation strategy

According to Magyar Építők, the development of the two iconic city centre blocks of Semmelweis University will serve education, research and healthcare. The project aims to preserve the urban significance of the Semmelweis University buildings while providing modern infrastructure and the designers have paid particular attention to preserving the historic facades and restoring their original appearance, including the restoration of their colour scheme. The development is part of the Hőgyes-Schöpf-Merei Medical Research Centre, which has now received planning permission and is part of Semmelweis University’s overall modernisation strategy.

Semmelweis University TSPC Group
Source: Facebook / TSPC Group

New possibilities and reconstruction

The renovations are not just about improving the condition of the buildings, but also bringing new functions to life. The increased capacity of the Faculty of Pharmacy will enable the University to meet its own infusion needs and thus contribute more directly to health services. For both blocks, the investment will improve the conditions for teaching and research activities, as well as expanding pharmaceutical manufacturing processes.

Due to the densely built-up inner-city environment, the project required particularly careful preparation. The WHB Group’s design team emphasised that the focus of the refurbishment was mainly on the reconstruction of existing buildings. Neglected properties of lesser value will be demolished and replaced by new, modern buildings. The conversion will increase the total floor area of the site to 20,679 square metres and the gross floor area to 26,745 square metres.

One of the priority sites is the block on Endre Hőgyes Street, which is already a training centre for pharmacists. Two additional storeys will be added to the building, allowing the designers to create a uniform cornice height on the street frontage. The interior of the building will also be renovated to provide modern teaching facilities and research laboratories.

The second site is the historic palace and courtyard building located near Bakats Square. The property has served many health and social functions throughout its long history, but is currently in a state of neglect. It will be completely renovated and returned to the health sector. In addition to the restoration of the original façade elements and decorations, the building will also feature a reconstruction of the clock tower in the rear wing, which will be restored to its original tower and form.

The exterior of the new parts of the building will have a brick red textured render to match the historic buildings. The facades will be enhanced by plastic plaster ornamentation and modern glazing, while unique shading elements will provide contemporary functionality. The facades of the original buildings will retain their patina and be restored to their original colours, paying homage to the past.

The Semmelweis development: tradition meets innovation

The project will be carried out in several phases. The first phase will involve the renovation of the Bakats Square block, followed by the reconstruction of other buildings and the integration of the whole area. The aim is to provide a world-class infrastructure for the full spectrum of Semmelweis University’s teaching, research and pharmaceutical manufacturing activities, while opening up future opportunities for innovation.

The development of Semmelweis University is an exemplary project that combines the preservation of historical values with the creation of modern functions. The modernisation of the city centre blocks will not only contribute to the development of university education and research but will also enrich the urban landscape. This type of investment shows how respect for the values of the past can become the basis for innovation in the future.

Read also:

Hungarian Parliament’s final session brings key amendments to the constitution, election act, and more

In the Hungarian parliament, Fidesz, the governing party with a two-thirds majority, has introduced several important changes to the lawmakers:

Hungarian Parliament vote on law establishing 2025 budget

MPs approved legislation for establishing the 2025 budget in a vote in parliament on Tuesday.

The law includes several measures in various fields and was approved by lawmakers with a vote of 134 for, 47 against and 8 abstentions.

The law removes the legal institution of special economic zones from the statutory regulation as of January 1. The competent local municipalities will once again perform local government and state administration tasks related to the areas.

The February date for the payment of the bonus thirteenth monthly pension has been raised to a statutory level.

The law imposes a HUF 1.2m annual threshold limit for subscriptions of baby bonds on Start accounts in a calendar year per person.

A provision that the government sector balance must be determined in such a way that its deficit does not exceed 3pc of GDP has been removed from the stability act. The new regulations state that the government sector balance must be decided in accordance with the Basic Law and European Union law.

The law authorises the government to decide on the alienation of state-owned properties next to national core network railway tracks in the national economic interest, or on the establishment of land use rights on them, or on the creation of undivided common ownerships.

It was also determined that business associations that develop and operate real estate that is part of the national core network railway track, in which the state’s direct or indirect share reaches 10pc, will be considered to be included in state property.

Amendments on higher education, family affairs, culture

Hungarian Parliament approved amendments to laws on higher education, family affairs and culture with 134 votes in support, 17 against and 39 abstentions.

In line with the amendments, married students who have children will be eligible for state scholarships until the age of 30, and tuition-paying students will be transferred to state scholarships if they get married and have children.

Students returning to Hungary after taking out a student loan abroad will have the option to repay their loan through the Hungarian student loan system.

Students raising children aged under 14 will be allowed to choose distance learning.

Several foundations operating universities will receive properties free of charge.

The state can operate museums in the future, the local council, or by non-profit economic organisations owned by the state or local council.

The Fudan Hungary University Foundation will change its name to Tudas-Ter Foundation, and it will be tasked with implementing a student quarter dormitory development program under the arrangements of university cooperation and to develop student welfare services.

read also: Hungarian MPs decide on important tax laws

Lawmakers tighten criminal code’s statute of limitations rules

Parliament voted unanimously to tighten the criminal code’s rules on the statute of limitations.

In line with the amendment approved with 190 votes in favour, zero tolerance will apply regardless of the age of the perpetrator, and the statute of limitations will be eliminated in cases of serious crimes punishable by life imprisonment.

Current regulations stipulate that the maximum prison sentence for perpetrators aged under 16 is 10 years, and for perpetrators aged between 16 and 18 years it is 15 years. Additionally, there is currently a statute of limitations in force in such cases, and the crimes lapse after 10 years or 15 years, respectively.

In line with the amendment approved by parliament, a statute of limitations will be applicable only in the case of crimes punishable by over 10 and 15 years in prison.

The new regulations will enter into force on January 1.

The governing party has redrawn the electoral map to suit itself

Parliament voted in favour of the amendment to the electoral law on Tuesday, with 134 votes in favour and 52 against, and no abstentions.

  • The ruling party has completely redrawn the previously known electoral districts:
    Budapest, which was the opposition’s stronghold, has been truncated from 18 to 16 constituencies, meaning that two fewer individual MPs from the capital will be able to enter Parliament. For the amendment, all constituencies in the capital will be redrawn based on Fidesz’s analysis.
  • The two extra single MPs will be allocated to Pest county, which will have 14 constituencies in 2026 instead of the current 12.
  • The constituencies of Fejér and Csongrád-Csanád counties have also been changed.
  • Under the new law, it will no longer be necessary to carry an address card with you to vote, but only an identity card, passport or driving licence will be required to prove your identity.
  • The rules on the bundling and storage of ballot papers are clarified.
  • The law also creates the possibility and obligation of an automatic recount of votes.

The head of the committee Imre Vejkey, of the co-ruling Christian Democrats, said during the debate about the proposal that changes in demographics had prompted the amendments to the constituency allocations. The opposition parties have sharply criticised the proposal, saying that the changes served the interests of the ruling parties.

read also: Hungarian Parliament again extends the state of emergency

Lawmakers adopt 14th constitutional amendment

Lawmakers adopted the 14th amendment to Hungary’s constitution, giving parliament room to elect the chief prosecutor from outside the prosecutorial system.

The amendment passed with 135 votes in favour and 53 against.

In their justification for the amendment, the authors of the bill said the amendment brings the regulation in line with the domestic practice, arguing that two of Hungary’s three chief prosecutors since the change of regime in 1989/90 had not been prosecutors before their election.

The amendment proposal submitted by parliament’s justice committee also makes reference to international examples, pointing out that many European countries do not require the chief prosecutor to have served as a prosecutor before fulfilling the role.

The amendment will enter into force on January 1, 2025. Chief Public Prosecutor Peter Polt’s mandate expires in 2028.

The amendment also raises the minimum age for judges from 30 to 35 years effective March 1, 2025. Also, as of January 1, 2026, judges will be allowed to remain on the bench until the age of 70.

Parlt adopts amendments to laws on digitalisation of documents

Parliament adopted amendments to laws pertaining to digital citizenship and the digitalisation of documents on Tuesday.

The new regulations, adopted with 135 votes in favour, 22 against and 33 abstentions, are designed to fine-tune regulations and to align them with European Union law.

Personal data are already available in an application. From February 2025, users will be able to download and forward the authenticated contents of many official documents.

With the exception of personal IDs, documents will only be issued in physical form upon specific request. ID cards will be issued free of charge, but people above 14 will have to pay for the issuance of physical documents in other cases. Pensioners will have discount prices.

By reducing the number of plastic and paper documents, the government is expecting to reduce plastic waste by 11.1 tonnes a year, and paper waste by 1.2 tonnes.

Hungary falls behind as Romanian and Bulgarian wages surge

In recent years, few economic indicators have captured Hungarian public attention as much as those showing Romania not only catching up to but surpassing Hungary. Two key metrics often cited are GDP per capita adjusted for purchasing power parity (PPP) and household consumption levels. Both reveal Romania’s significant progress over the past decade within the EU rankings.

For those seeking to maintain the perception of Hungary’s economic advantage, fewer and fewer data points remain convincing. However, the macroeconomic figures also hide contradictions—most notably, that Romania’s progress has not been equally shared across its society.

The rise of Romania’s wealthiest

According to the report of G7, over the last decade, Romania’s top earners have made significant strides within EU income rankings. In contrast, middle-class gains have been more moderate, and the poorest 25% of the population remain largely stagnant. EU-wide income percentile rankings illustrate this disparity by ordering the incomes of all EU citizens and comparing individual country groups to the EU average.

For instance, in Hungary, the 90th income percentile moved slightly forward between 2020 and 2023, ranking ahead of 29% of EU earners compared to 28% in 2020. Full convergence, however, would require Hungarian groups to match or exceed their EU counterparts’ rankings—for example, the Hungarian 90th percentile would need to rank above 89% of EU earners.

Romania has exhibited a similar pattern in recent years, with the greatest gains among the upper and middle-income groups. Only the poorest fifth of Romanian society remains firmly at the bottom of EU rankings. In euro terms, which exclude local cost-of-living adjustments, the income growth among Romania’s higher earners is even more pronounced, highlighting a tangible improvement in living standards.

Bulgaria closes the gap

Bulgaria’s standard of living historically attracted little attention in Hungary, but Romania’s leap has shifted the focus. Bulgaria recently surpassed Hungary in household consumption levels (adjusted for PPP), aided by Hungary’s record-breaking inflation. From 2020 to 2023, Bulgaria’s top-earning 50% also advanced significantly in EU rankings, with the wealthiest Bulgarians already ranking among Europe’s highest earners since the start of the decade.

However, PPP-adjusted income data should be viewed cautiously, as figures for both the wealthiest and poorest segments are often less reliable. Still, in euro terms, only the top third of Bulgaria’s population has seen a relative improvement in the EU income rankings.

A three-way competition

In Hungary, only the top 15% of earners saw progress between 2020 and 2023, while lower-income groups largely slipped in the EU rankings. Comparisons between Bulgaria, Hungary, and Romania reveal that Hungary’s advantage now persists only among its bottom 45% of earners,

while the wealthier 55% of Romanians and Bulgarians have overtaken their Hungarian counterparts.

Hungary still holds a slight lead in EU income rankings when measured in euros, disregarding local cost-of-living differences. Government-aligned analysts often emphasise this comparison to downplay Romania’s progress. However, this approach becomes less favourable when Hungary’s figures are compared with those of higher-cost, more developed countries, where Hungary’s lag is even more apparent.

The future of convergence

The rapid pace of convergence in Romania and Bulgaria is undeniable. While their progress is most visible when adjusting for purchasing power, middle-income groups in all three countries now enjoy broadly similar living standards. As these trends continue, the disparities that once defined economic rankings within the region are diminishing, leaving Hungary’s economic edge increasingly tenuous.

Read also:

Featured image: depositphotos.com

Kazakhstan–Hungary Roundtable breaks new ground in trade and investment

On December 12, 2024, a roundtable titled “Kazakhstan – Hungary: New Trends of Trade and Investment Cooperation” was held in Budapest. The event was organized by the Embassy of Kazakhstan in Hungary in collaboration with Kazakh Invest, supported by HEPA (Hungarian Export Promotion Agency) and the Hungarian Chamber of Commerce and Industry (MKIK). 

The roundtable became a logical continuation of the positive momentum following the state visit of the President of the Republic of Kazakhstan, Kassym-Jomart Tokayev, to Hungary on November 19-20, 2024. This visit, which included a meeting between the Head of State and leaders of Hungary’s top companies, was a significant milestone in strengthening Kazakh-Hungarian relations. Related article: PM Orbán meets Kazakh President Tokayev

“Strong economic and cultural ties bind our countries. Today’s event is a key step toward strengthening mutual cooperation, creating new investment projects, and building a strategic partnership”,

said Abzal Saparbekuly, Ambassador of Kazakhstan to Hungary.

During the roundtable, key topics were discussed, including the development of infrastructure and logistics, joint projects in the agro-industrial complex, nuclear energy, digital transformation, and opportunities in education.

Hungarian companies actively cooperating with Kazakhstan, such as MOL Group, UBM Group, L.A.C. Holding, Elitmag, Alfaseed, MVM Group, and I-Cell, were highlighted. These companies are already implementing successful projects in energy, logistics, agriculture, and digital technologies.

“Kazakhstan has become one of our most active and valuable partners in Central Asia. The foundation of our successful cooperation lies in two key factors: mutual respect for the past and a shared aspiration for the future. Kazakhstan is making impressive progress in innovation, sustainable development, and financial technologies, creating a strong basis for our continued partnership”, emphasized Dr. Csaba Kandrács, Deputy Governor of the Hungarian National Bank.

“Collaboration with Kazakhstan opens unique opportunities for Hungarian entrepreneurs. We are proud to contribute to the development of joint projects and the strengthening of economic ties between our countries”, said Gábor Jenei, CEO of HEPA.

“The projects we are implementing jointly with Kazakhstan in logistics and infrastructure not only strengthen trade connections but also contribute to the development of new transport routes between our countries”, noted László Horváth, President of L.A.C. Holding.

 

Many companies expressed their willingness to expand their presence in Kazakhstan and plan to introduce innovative technologies into joint projects.

“Kazakhstan is a strategic partner in the agro-industrial sector. The country’s opportunities, resources, and government support make Kazakhstan a unique destination for investments”, said Péter Horváth, CEO of UBM Group.

“The agro-industrial sector is not just business but the key to food security. Kazakhstan has already established itself as an agricultural hub in Central Asia, and in the next 5-7 years, we will witness this position strengthening even further”, noted András Sándorfy, Managing Director of Elitmag.

Dávid Békési, Director General of International Relations and Development of the Hungarian University of Agricultural and Life Sciences (MATE), said in his speech that they are open to cooperation with foreign universities in the field of education, as they already have a relationship with a Kazakh university.

Kazakhstan-Hungary Roundtable
Dávid Békési, Director General of International Relations and Development of the Hungarian University of Agricultural and Life Sciences (MATE). Kazakhstan-Hungary Roundtable 2024. Source: Kazakhstan Embassy, Budapest

He stressed that MATE welcomes foreign students who want to study in Europe, and of course, they also welcome students from Kazakhstan to take the knowledge they have gained here back home after graduation.

László Vasa, an expert from the Hungarian Institute of International Affairs, contributed to the discussion by offering an analytical perspective on the prospects for bilateral partnership.

As the Organizers said, this roundtable confirmed the mutual interest of Kazakhstan and Hungary in deepening their partnership, opening new horizons for economic cooperation. More than 70 participants, including government officials, leading companies, and experts from Kazakhstan and Hungary, attended. Mátyás Kohán, a foreign policy observer for the Hungarian weekly Mandiner, moderated the event.

read also: Hungary and Kazakhstan strengthen ties with 7 new agreements in business, agriculture, and science

Great news: Budapest’s beloved LEGO tram extends its stay

Thanks to the great popularity of the tram, the LEGO tram will stay in the centre of Budapest until 6 January, dressed up for Christmas.

The holidays are the busiest and busiest time of the year for most Hungarian families, so the BKV, BKK, Budapest Brand and LEGO team decided to keep the LEGO tram on Deák Ferenc Square for the entire festive period, until the Epiphany.

As we wrote earlier, LEGO Vili, the life-size toy tram is the world’s largest LEGO construction moving on a knitted track, and now everyone can decorate it with their own bricks. With LEGO Vili, the organisers want to raise awareness of the importance of play as a key learning tool and an important part of children’s development, alongside public transport. With its colourful appearance and friendly character, the unusual tram immediately captured the hearts of not only the people of Budapest, but also tourists, who quickly spread the word about this unique Budapest attraction around the world.

read also: Special LEGO Mercedes cars placed at Budapest’s Fashion Street – PHOTOS, VIDEO

Hungarian EU Presidency makes milestone progress on enlargement for Serbia, Montenegro, and Albania

The Hungarian EU Presidency has focused on the Western Balkans, and the Government considers their engagement in the integration process to be particularly successful.

Three Montenegro EU accession chapters closed

Three EU accession chapters with Montenegro have been closed, Péter Szijjártó, the foreign minister, in Brussels on Monday, adding that after 7.5 years, the integration process was speeding up thanks to the Hungarian EU presidency.

After the EU-Montenegro Intergovernmental Conference, Szijjártó told a press conference that Hungary’s presidency prioritised enlargement in view of the importance of stability, peace and development in the Western Balkans.

He said that the region’s countries have been in the EU membership corridor for 15 years on average, adding that in the absence of rapid progress, “we’d be putting not only the credibility of enlargement policy at risk but that of the entire EU in peril, too”.

He said Montenegro submitted its application in 2008, became a candidate in 2010, and negotiations began in 2012.

A merit-based process in theory had not worked in practice, “and somehow enlargement didn’t make progress even if the performance of candidate countries was good”.

Negotiation chapters on intellectual property rights, media, and enterprise and industrial policy were closed, he noted, adding that the last time the EU wrapped up a negotiation chapter with Montenegro was seven and a half years ago.

Szijjártó said Montenegro brought strength, momentum, freshness to the bloc, “something that we sorely need”, and “mutual benefits for Montenegro and the whole EU”.

Montenegro brought few risks as the bloc could easily handle the increase in population, he said. He added that as a NATO and a unilateral adopter of the euro currency, adaptation would be smooth.

Hungary’s largest bank, OTP, “is the market leader in Montenegro”, and Hungarian telecommunications company 4iG also plays an important role in Montenegro’s digitalisation development, he said.

Montenegro’s prime minister, Milojko Spajic, expressed gratitude to the Hungarian presidency for its work in speeding up the enlargement process.

Major progress made in the Serbian EU accession process

The Hungarian EU presidency has made a major step forward in advancing EU enlargement as EU affairs ministers in Brussels have approved opening a third chapter group for Serbia, according to a presidency statement on Tuesday.

Balint Odor, the head of Hungary’s Permanent Representation to the European Union, has sent a letter to the Serbian head of EU Mission on behalf of the Council of the European Union, inviting Serbia to submit its negotiating position on Chapter 16 on taxation and Chapter 19 on social policy and employment, which belong to the third group of chapters covering the topic of competitiveness and inclusive growth, the statement said.

This “significant step” for Serbia energises accession negotiations and the enlargement process, Odor wrote on the X platform.

The EU Council has held two intergovernmental conferences. On Monday, three accession chapters were closed with Montenegro, while on Tuesday the second group was opened with Albania, the statement noted.

read also: Hungary strengthening ties with Bosnia and Herzegovina

EU opens new accession chapters with Albania

The European Union has opened new accession chapters with Albania for the second time in two months, Szijjártó said in Brussels on Tuesday, calling the development “a great success” for Albania and the Hungarian EU presidency.

Hungary is clear-eyed about the importance of the region’s stability, peace, and progress. Szijjártótold a press conference after the EU-Albania intergovernmental conference, noting that the presidency prioritised the bloc’s enlargement.

Western Balkan countries have been waiting for EU membership for an average of 15 years, Szijjártó said. “That is unacceptably long and disrespectful to those countries,” he said.

EU presidency
Photo: MTI

Albania applied for membership in 2009 and became a membership candidate in 2014. Negotiations started in 2022, “but we had to wait until 2024, and the Hungarian presidency for the actual process to start,” Szijjártó said. The past two months, he added, had seen more progress than the previous 15 years.

Szijjártó said that opening the chapters relating to foreign ties and security policy was a good decision in view of Albania’s “excellent performance” in the field. The country, he said, was a reliable NATO ally and “has performed well in the UN Security Council”.

The minister said that Hungary had firsthand experience on the “enormous progress” that Albania’s economy had made in the past few years, as Hungarian companies in top positions on the Albanian market could attest to.

Hungary and Albania earlier signed an agreement on the training of 50 Albanian public servants at the Hungarian Diplomatic Academy, “because Hungary well remembers how complicated the EU accession process can be,” he said.

Asked about a remark by Estonian counterpart Margus Tsahkna that he felt Szijjártó was “playing for another team”, the minister said he was “absolutely right”. “We play for another team: he’s on the pro-war team, and I’m on the pro-peace team.”

read also: Hungary praises Albania’s progress on path to integration

Major renovation underway for Budapest’s historic Exchange Palace on Szabadság Square

Gránit Asset Management successfully closed the acquisition of the historical Exchange Palace (Tőzsdepalota in Hungarian) building in the heart of Budapest, Hungary, from private investors, for an undisclosed sum, in an asset deal. With this new venture, the long-vacant building can undergo a transformation and once again become a shining example of Budapest’s architectural heritage.

History of Exchange Palace

Exchange Palace is a monumental Beaux Arts building, completed in 1905, designed by the renowned architect Ignác Alpár, with ca. 50,000sqm total floor area. The building is located on the west side of Freedom Square (Szabadság tér in Hungarian) in the historical centre of District V in Budapest, only two blocks from the Hungarian Parliament, and just the opposite side of the square to the US Embassy. Since its completion it served as home to the Budapest Stock and Commodities Exchange, until World War II. Following the war, it became the headquarters of the Hungarian State Television until 2009. Exchange Palace is a listed historical monument under the protection of the National Heritage Authority.

Exchange Palace Tőzsdepalota (3)

New chapter for the landmark building

A private equity fund, managed by Gránit Asset Management, and the company owning the Exchange Palace building, represented by Andrea Suriano, senior manager of Futura Investment Management and Futura Funds SICAV- Kappa Fund and Canadian investor Michael D. Tippin, Founder of Tippin Corporation, successfully closed the transaction on December 12.  The sale marks the beginning of a new chapter for the landmark building situated in the heart of Budapest, Hungary, on the famous Liberty Square. Gránit intends to redevelop Exchange Palace for a function and purpose which highlights its iconic architectural status, while preserving its historic characteristics.

The successful sale of Exchange Palace marks an exciting milestone for all parties involved in the process. After overcoming numerous challenges to ensure the successful sale and reuse of Exchange Palace in the best interest of our limited partners and the City of Budapest, we are pleased to welcome Gránit Asset Management as our buyer, whose shared vision, experience in the local real asset markets and confidence in the project have been instrumental in bringing this transaction to fruition and finally, to completion” mentioned Alberto Matta and Andrea Suriano representatives of Cougar Real Estate SA, the majority shareholder of the Exchange Palace.

Exchange Palace is in good hands with an esteemed Hungarian investor as its rightful new owner. I am confident Gránit will design and develop this truly extraordinary building to its fullest potential. Since 2006, Tippin Corporation, together with Futura Funds (2013), have been proud custodians of this famous Hungarian landmark. While not our original plan, the building became the set of many Hollywood feature films and promoted beautiful Budapest to the world.  I’m delighted that our goal for Exchange Palace to be restored and returned to the Hungarian people will be realized,” said Michael D. Tippin.

Exchange Palace Tőzsdepalota (3)

We always kept an eye on Exchange Palace waiting for the right time to quickly move and acquire this historic building in this excellent location. I am glad this moment finally came, and we were able to form a truly collaborative environment with the sellers. For Gránit Asset Management, investing in projects that offer long-term value to our investors has always been a primary objective, and this transaction aligns perfectly with that goal. One might think this transaction is a great achievement in light of its past, which is definitely true, however, for us, this is just the first step, and in fact the real journey is yet to come with creating a completely new design for Exchange Palace and executing its full restoration” added Álmos Mikesy, CEO and Chairman of the Board of Gránit Asset Management, representing the buyer. He continued: “The revitalization of this long-vacant building and its transformation into a commercially viable space will have a positive impact on the entire downtown area, boosting not only its architectural appeal but also its economic and tourism prospects.”

Throughout the due diligence and sales process, Gránit was advised by DLA Piper and Sentient. The sellers were represented by CMS Cameron McKenna, CBB law, CBRE and Cushman & Wakefield.

read also:

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4 restored Budapest palaces to shine bright in the capital’s historic heart – VISUALS

Hungarian policymakers set base rate at the year’s final meeting – update

national bank of Hungary -mnb nbh

The Monetary Council of the National Bank of Hungary (NBH) decided to leave the central bank base rate unchanged at 6.50pc at a monthly policy meeting on Tuesday.

The National Bank policy makers left the base rate on hold at the previous two meetings, in October and November, too.

The Council also left the O/N deposit rate at 5.50pc and the O/N collateralised loan rate at 7.50pc. The rates mark the ends of the central bank’s symmetric interest rate corridor.

In a statement released after the meeting, the Council said the expected interest rate paths and future fiscal policies of major economies are still surrounded by uncertainty. Ongoing geopolitical tensions are raising upside risks to inflation through risk aversion towards emerging markets. Looking ahead, a careful and patient approach to monetary policy is warranted. In the Council’s assessment, geopolitical tensions, volatile financial market developments and the risks to the outlook for inflation warrant further pause in cutting interest rates.

“In the current macroeconomic environment, the Bank can make the most effective contribution to the easing of economic agents’ increased precaution and to the restart of economic growth by maintaining price stability and financial market stability” the policy makers said.

“Restrictive monetary policy contributes to the maintenance of financial market stability and the achievement of the inflation target in a sustainable manner by ensuring positive real interest rates,” they added.

The NBH said it considers it crucial that short-term interest rates develop consistently with the level of interest rates determined by the Council in every sub-market and in every period. In line with its earlier practice, the Bank pays special attention to the expected state of the FX swap market at the end of the year. To ensure the effectiveness of monetary policy transmission, the NBH smooths movements in financial markets by using instruments with longer maturities in December, in addition to one-day FX swap tenders announced on a daily basis and weekly discount bill auctions.

At a press conference after the meeting, deputy governor Barnabás Virág said the expected inflation path for 2025 has shifted higher, and a persistent return to the 3pc inflation target has been delayed to 2026. He noted that despite the delay, inflation will remain within the tolerance band for most of 2025.

Citing the projections in the latest quarterly Inflation Report of the NBH, Virag said average annual inflation is set to reach 3.6pc-3.7pc this year. In the previous report, published in September, the NBH had put 2024 average annual inflation at 3.5pc-3.9pc.

The NBH forecasts average annual inflation of 3.3-4.1pc for 2025 in the fresh report, up from 2.7-3.6pc in the previous one, and between 2.5-3.5pc for 2026 and 2027.

The report also says that the Hungarian economy is expected to grow by 0.3-0.7pc in 2024. The NBH forecasts 2.6-3.6pc GDP growth in 2025, 3.5-4.5pc in 2026, and 2.5-3.5pc in 2027.

Virag said in 2024 Hungary’s economy will expand more moderately than expected. The subdued growth is due to factors beyond the scope of monetary policy, like agriculture output, German industrial production and postponed investments. From 2025 onwards, economic growth will be based on increasingly broad foundations and the economy is projected to enter a dynamic phase of growth from the middle of the year again.

Answering questions from journalists, Virag said a vast majority of rate-setters voted to keep the base rate unchanged and one member of the Council voted to cut the base rate by 25bp.

As we wrote yesterday, the future president of Hungary’s National Bank revealed key objective,s and his team, details HERE.

read also: The Hungarian National Bank has become the world’s 2nd biggest in the gold purchase market

Infertility treatments in Hungary: European Commission demands action

The European Commission has called on Hungary to comply with EU rules on medically assisted reproduction by sending a reasoned opinion to the Hungarian government for allowing only state-owned or state-operated institutions to provide infertility treatment from June 2022. These restrictions put Hungary in breach of Article 49 of the Treaty on the Functioning of the European Union, which guarantees the freedom of establishment.

According to the European Commission, these provisions cannot be justified by public interest considerations, such as the need to protect public health or public order. The Commission said that the Hungarian authorities had failed to demonstrate that private providers had not previously provided safe and high-quality reproductive services. Moreover, the changes did not improve access to procedures, as the reduction in the number of providers had the opposite effect.

european commission budget deficit
European Commission, Brussels. Photo: Pixabay

The European Commission also stated that Hungary’s restrictive legislation is not in line with EU values and principles. The Commission has given Hungary two months to respond and take the necessary measures. If the response is not satisfactory, the case could be referred to the EU Court of Justice.

Shortcomings in Hungarian aviation safety

The European Commission has sent another warning to Hungary, this time over civil aviation safety. According to the Commission, Hungary does not comply with the technical and administrative requirements of EU legislation on the operation of aircraft. The EU expressed concern that there are insufficient trained staff to properly supervise operators holding aviation licences.

According to the report, the Hungarian authorities have not put in place a sound management system to ensure adequate controls and audits. In addition, they do not always ensure compliance of the organisations concerned before issuing certificates, licences and approvals. These shortcomings may seriously jeopardise air safety.

The European Commission also considers that Hungary has failed to ensure that quality control systems meet EU standards. A letter of formal notice has been sent and the country has been given two months to respond and improve the situation. If the shortcomings are not remedied in time, the Commission may impose further sanctions.

Hungary European Commission infringement
Photo: FB/European Commission

European Union Laws and Hungary

Both cases illustrate the tensions between the European Union and Hungary in the area of legal harmonisation. The restrictions on medically assisted reproduction and the disregard for aviation safety requirements also show that the Hungarian government deviates from EU standards in a number of areas. The European Commission considers these measures to be not only illegal but also decisions that run counter to the interests of citizens.

The European Commission wants to ensure that EU citizens have free access to the services they need and that safety standards are respected. The coming months could be crucial for the Hungarian government, which could face serious legal consequences if the controversial rules are maintained. The European Commission could refer Hungary to the Court of Justice of the European Union, which could bring further international attention to Hungary.

Read also:

Get ready, Budapest: Major overpass makeover set to begin— traffic restrictions ahead

The long-awaited renovation of the Flórián Square overpasses, connecting Szentendrei Road and Árpád Bridge, is set to begin in the first quarter of 2025. Budapest Transport Centre (BKK) and KM Építő Ltd. signed a construction agreement on 16 December 2024, marking a significant step forward for the project.

Key details of the project

The renovation will be carried out by KM Építő Ltd. for a net cost of HUF 2.1 billion (EUR 5.1 million), with the total project budget, including VAT, contingency reserves, design fees, technical supervision, and other expenses, expected to reach approximately HUF 3 billion (EUR 7.3 million). Plans for the project were prepared by FŐMTERV Mérnöki Tervező Plc., with technical oversight to be handled by Budapest Közút Plc, Magyar Építő reports.

The reconstruction will address significant deterioration in the overpasses—built over 40 years ago—due to decades of wear and tear. The work is expected to continue through the spring of 2026.

Scope of the renovation

bkk flórián square overpass (1)
The Flórián Square overpass in Budapest. Photo: BKK

According to BKK, the project includes a comprehensive modernisation of the two parallel overpass structures, which serve as vital links between Budapest and its surrounding areas, accommodating over 50,000 vehicles daily. Key tasks include:

  • Replacement of the road surface;
  • Repair of reinforced concrete structural damage;
  • Full-width waterproofing to prevent further water damage to the pillars;
  • Construction of new reinforced concrete edges with improved safety barriers;
  • Installation of new expansion joints and bearings at both ends of the bridges;
  • Improvements to the drainage system and repairs to retaining walls, bridge abutments, and pillars;
  • Preservation of archaeological findings uncovered during construction.

The renovation will proceed in two phases to minimise disruption. Traffic heading from Szentendrei Road to Pest will be maintained on separate levels throughout the construction, while traffic from Pest will alternate between the overpass and the surface level, depending on the phase.

Traffic and public transportation adjustments

The BKK is advising commuters from the surrounding agglomerations to use public transportation wherever possible during the construction period to alleviate traffic congestion. Specific details about closures, detours, and alternate routes will be announced closer to the project’s start date.

A short period is anticipated when tram service on Line 1 under the overpass will be suspended. During this time, replacement bus services will be provided.

Funding secured through legal resolution

The project is funded by the Budapest Municipality, with a significant portion of the budget sourced from a settlement reached in a protracted legal dispute. In 2021, the BKK initiated legal proceedings against Scheidt & Bachmann over a breach of contract related to the city’s electronic ticketing system. The International Court of Arbitration ruled in favour of the BKK, resulting in a substantial financial settlement from the German company. This funding will now be utilised for the Flórián Square renovation, marking an important milestone for Budapest’s infrastructure development.

Read also:

New survey: How much do Hungarians trust Trump to end the Russia–Ukraine war?

Fully 77 percent of Hungarians thinks that president-elect Donald Trump stands a good chance of ending the war in Ukraine in 2025, a survey published by pro-government Századvég on Tuesday has shown.

Prime Minister Viktor Orbán met Ukrainian President Volodymyr Zelensky, Russian President Vladimir Putin, Chinese Presidenet Xi Jinping and Trump, then the Republican presidential nominee, in July, “with the aim of gauging the stance of the warring parties and promoting peace”, the think-tank said in connection with the survey, conducted with a sample of 1,000 people.

The “peace mission” had been harshly criticised by the Brussels elite, Századvég said.

“The survey shows that, unlike Brussels leadership, the Hungarian public backs Orbán’s efforts to hasten the end of the war,” the think-tank said.

Fully 68 percent of respondents agreed that Orbán promoted ending the war. “Thanks to the pro-peace stance of Hungary, 74 percent opposes the US government and certain EU member states shipping long-range missiles to Ukraine, it said.

Further, 77 percent of Hungarians considered there was a realistic chance that Trump would successfully end the conflict in 2025, it added. Fully 51 percent of respondents had a positive view of Trump, the survey showed.

Unarmed Ukraine against the Russians?

It is important to underline that the Hungarian government has been saying for years that Ukraine should not be given arms, which would have meant that Russia would have been crushing our eastern neighbour.

Even yesterday, the Hungarian Foreign Minister said that although the Russians were attacking, the Ukrainians should not be given weapons to defend themselves. Related article: Orbán cabinet did everything to stop Ukraine getting aided arms shipments, but failed – details here

Several analysts have recently said that Trump wants peace, but it may be in the US’s interest not to strengthen Russia by doing so. Yet, at the moment, aggressor Russia is attacking in force, and Ukraine still needs a lot of help to keep up the attacks. The idea of peace is also very different for Ukrainians, whose territories are occupied, and for other countries that are watching from the outside and whose territorial integrity is not at stake.

The results of the current public opinion poll show very clearly that the Hungarian government’s powerful communication has reached the electorate, and they have taken it on board.

As we wrote yesterday, the Budapest-Kyiv train service has been restored; details are HERE.

Government Office takes Budapest Municipality to court over alleged unlawful operation

The Budapest municipality has been operating unlawfully for months and has failed to elect a deputy mayor, even though the government office of Budapest has demanded that it do so, Botond Sára, the government commissioner for Budapest, said on Tuesday, adding that the office is turning to the courts over the matter.

“If the mayor and the assembly fail in such a simple objective,” then the budget issue would be even more problematic, Sára said in a video on Facebook. Should it be adopted in its current form on Wednesday, the budget would also be unlawful, he said.

Sára said that Gergely Karácsony, the city’s mayor, had admitted that Budapest was close to insolvency and its operations were at risk.

Since City Hall missed the government office’s deadline for electing a deputy mayor and restoring lawful operations, the government office is turning to the courts, Sára said.

“Regarding the budget, we’ll see what the city assembly decides on Wednesday. We will take every necessary step to avoid putting the functionality of the city at risk, because the safety and comfort of Budapest citizens is our priority,” Sára said.

As we wrote earlier, Budapest City Assembly postpones the deputy mayor vote amid political tensions; details are HERE.

 

read also – Orbán cabinet: Budapest ‘can’t get out of paying taxes’

It’s over: European Commission has decided on Hungarian funds

European Commission has said Hungarian law changes aimed at addressing risks of conflicts of interest regarding “public interest trust” boards were insufficient to warrant the lifting of EU budget conditionality measures.
The measures recommended by the commission “to protect the EU budget from breaches of the principles of the rule of law in Hungary” were adopted on December 15, 2022, by the European Council, the EC noted in a statement.”These breaches related to the areas of public procurement, prosecutorial action, conflict of interest, the fight against corruption and the public interest trusts,” the statement noted.”Hungary formally notified the commission about specific legislative amendments regarding public interest trusts and entities maintained by them” on Dec 2, and asked the commission to propose to the council that the measures be adapted or lifted.The commission said Hungary’s changes to the law did not “adequately address the outstanding concerns on conflicts of interests” regarding the boards, so the measures should remain in place. It added that “adaptations that would be needed to remedy the situation sufficiently” had been outlined to the government.

“Hungary can at any time adopt and notify new remedies to demonstrate to the Commission that the measures adopted by the Council should be adapted or lifted,” the statement said.

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