Ukraine

Alexander Katsuba: What should be the vision of Ukrainian economic policy?

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Before the annexation of Crimea, the war in Donbas, and even amidst the full-scale invasion, the discussion in Ukraine has been consistently focused on the need for a strong economy, a “national producer,” “well-paid jobs,” “business rights guarantees,” and “ending law enforcement abuse.” Every year, we seem to revisit these topics anew. However, instead of discussing strategy, we consistently focus on local problems and economic tactics. While one might think that war is not the best time for such discussions, considering that the war has exposed the inadequacy of the old Ukrainian model, now is precisely the time to talk about a new model.

Economic policy, or rather its almost complete absence over the past 33 years, has been beneficial only for simple business models, mostly of the resource-based type. This resulted in low taxes for large businesses, significant interest from tax authorities and law enforcement towards small and medium-sized businesses, a lack of motivation to pay employees decent wages, and no defined state priorities for development.

The lack of any long-term planning has led to Ukraine not investing in professional education, quality higher education, and applied sciences, which could have served as a basis for a new industrialization and the creation of a technological economy. Consequently, a social-political model has gradually formed that corresponds to economic uncertainty – populism as the basis of politics and constant struggles for “flows” as the content of Ukrainian politics. If almost the only model of economic success is rent, then the struggle is for rent. This, by the way, is one of the fundamental reasons why Ukraine was unprepared for Russian aggression.

Ironically, this unbalanced resource model hindered the development of resource sectors as well. The gas market, which is almost native to me, was effectively closed to adequate private investment for many years, the energy market is still highly monopolized, and the Ukrainian metallurgy has gradually degraded from primarily steel production to exporting ore. The Russian invasion only further highlighted these obvious shortcomings – we have virtually no complex industry that could be quickly converted to military rails. And we are critically dependent on the help of Europe and America not only for weapons supplies but also for setting up production lines for ammunition and equipment. Moreover, China, which is quite an unpredictable partner, remains the main supplier of components for almost all drones produced in Ukraine.

What to do about it? Right now, amidst intense combat operations, the focus should be on not complicating the lives of businesses. The state should concentrate its efforts on transparency and ensuring the normal functioning of courts, as well as restricting the ability of corrupt law enforcement to hinder the operation of enterprises. Additionally, I am convinced that we can already work on creating specialized industrial zones in the western part of the country. This includes guaranteeing new productions a transparent and accessible scheme for connecting to utilities. Currently, when you want to open a production facility, you often have to wait a year for electricity connection. This unhealthy situation can be easily addressed by the state through adequate regulation.

In the long term, we need to work on shaping an economic model that takes into account both the strengths and weaknesses of Ukraine. We must realistically assess ourselves and our economic potential. Our two main long-term weaknesses are proximity to Russia (its aggression and threat are likely to persist) and demographics (Ukrainians are an aging nation that has experienced the largest population outflow in Europe since World War II). Both of these problems have no simple solutions and must be considered in building a new economic model. Our two main strengths are the presence of a large resource potential (both agricultural, energy, and metallurgical) and proximity to the world’s largest market – Europe.

The demographic challenge requires us not only to work on repatriating Ukrainians who have left but also to focus on quality rather than quantity of the workforce. Quality education. Quality healthcare. An attractive social model. High-skilled and technological industry.

The security challenge requires prioritizing the military-industrial complex, where Ukraine can become, based on its historical experience in military industry, one of the world leaders. Producing weapons and equipment for ourselves, for future NATO partners, and for all countries that are forced to be constantly prepared to defend against dictators.

Ukrainian resources should be used not within the framework of the old oligarchic model but as an opportunity for the development of a technological economy. We already have a successful experience where restrictions on timber exports helped the Ukrainian furniture industry become a successful exporter to the European Union. Ukrainian furniture is sold in Europe. The same can be done with metal products, industrial equipment, and weapons. For example, significant lithium deposits have been discovered in Ukrainian Donbas, which are critically important for the “green transition”. Should Ukraine export lithium? Or should it attract investments to produce batteries and other deep processing products? In the new economic policy, it’s the latter.

Finally, our integration into the Western world and the European Union create significant opportunities for export-oriented industries. We already see how the Ukrainian agricultural sector is creating real or perceived problems for Polish, Hungarian, and Romanian farmers.

But our opportunity for economic expansion in Europe is not only about exporting grains and other agricultural raw materials to the EU. Considering how quickly instability is growing worldwide and how quickly trade routes from Asia to Europe are becoming dangerous due to terrorists and dictators, Ukraine can become an industrial base where some production of European companies from East and Southeast Asia will relocate. Yes, this will require us to address fundamental problems, such as the specific nature of our judicial system, but without this, any development of Ukraine will be impossible.

Therefore, right now, when Ukrainian politicians, economists, sociologists, and our international partners are discussing the reconstruction of Ukraine after the war, we need to work on the problems and opportunities of Ukraine in strategic economic development. Because without this, neither long-term security nor the survival of the Ukrainian state and people as a nation will be possible. We need to stop stepping on rakes.

Alexander Katsuba — Ukrainian entrepreneur, expert in the energy sector, owner of the company ALFA GAZ.

Disclaimer: the author(s) of the sponsored article(s) are solely responsible for any opinions expressed or offers made. These opinions do not necessarily reflect the official position of Daily News Hungary, and the editorial staff cannot be held responsible for their veracity.

Hungarian government: Hungary afraid that its EU money “will end up elsewhere”

While Hungary is aiding Ukrainian refugees, it will not back steps threatening to escalate the conflict or to end in “Hungarians’ money ending up elsewhere”, the state secretary for aiding persecuted Christians said on Monday.

Speaking after a meeting of the European Union’s Foreign Affairs Council in Brussels, Tristan Azbej said the meeting had given an opportunity to discuss issues “simultaneously important for Hungarian interests and generally for peace and stability”.

Hungary had been the subject of “unfair attacks” over its solidarity to the Ukrainian people, he said.

“The truth is that Hungary has opened its borders to more than one million Ukrainian refugees in the past two years, providing medical care, food, accommodation and education.”

At the same time, Hungary will not support steps that would “support Ukraine in an uncontrolled and not transparent fashion,” he added.

He said Hungary also condemned the terrorist attacks of Hamas, supported Israel’s right to self-defence and called for the freeing of all hostages.

At the same time, Hungary is supporting the civilians in the conflict zone through the Latin Patriarchate of Jerusalem, he said.

“We do not accept that the Brussels dialogue on human rights avoids the issue of religious freedom. We continue to stand by religious freedom in the EU, especially the freedom of persecuted Christians,” he said.

Read also:

  • Orbán: Ukraine has to be a buffer zone between Russia and NATO – Read more HERE
  • Hungarian farmers protested against unlimited Ukrainian agricultural imports + PHOTOS

Orbán: Ukraine has to be a buffer zone between Russia and NATO

zelensky orbán

Hungarian PM Viktor Orbán has once again sharply criticised Ukraine. According to Orbán Ukraine adds nothing to the defence of Europe. He added that the West is in decline, and the European Parliament is, in fact, a madhouse.

Ukraine as a buffer zone?

According to HVG, Orbán believes that the Ukrainian state should serve as a buffer zone between Russia and the West, with adequate security guarantees. Former Austrian Chancellor Wolfgang Schüssel spoke to Viktor Orbán for the opening issue of European Voices, a new magazine produced in cooperation with Die Presse, the Austrian Foreign Policy Association and the UN.

In the interview, the Hungarian prime minister stressed that if Kyiv cannot play its role as a buffer, it will lose territory because Moscow will attack it again and again. There is no way that Russia will allow a state that is a member of the EU and NATO on its doorstep.

Ukraine is not defending Europe

Orbán did not agree that the Ukrainians were defending Europe, unlike Hungary in 1956. They do not, he argued, provide any extra security to the western half of the continent because these countries are already in NATO, which is much stronger than Russia. He sees no chance of the Kremlin giving orders to invade any member of NATO.

The PM believes that Europe is not able to supply enough weapons to the Ukrainians because public opinion already resents the support. Therefore, a dialogue on a ceasefire should start immediately, but at the same time, talks on Kyiv’s accession to the EU and NATO should be held.

West in decline, EP is a “madhouse”

One of the reasons for the weakness of the continent, in his reading, is the dysfunction of the European Parliament, “because it is, in fact, a madhouse”.

In his view, we should return to the idea of representatives being delegated by the Member States and not directly elected. And the European Commission should not aspire to be the European Council because it is the Heads of State and Government who have the say.

Orbán sees the greatest threat to the continent in Russia and the US concluding a security agreement over its head. The shift of the centre of gravity of the world economy to Asia is also a serious problem. Orbán says we are witnessing a change of era that happens every 500 years: the end of the West’s leadership.

The Prime Minister said that it is difficult for him to find common ground with American democrats, because in his view, it is not universal values but Hungarian interests that must take precedence. This is precisely why he appreciates Donald Trump’s foreign policy, as it is based on similar principles. And Europe must both cooperate and rival the United States, he said.

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Hungarian farmers protested against unlimited Ukrainian agricultural imports – PHOTOS

Hungarian farmers protested

Some 1,000 farmers protested on Friday near the Hungary-Ukraine border crossing at Záhony against the European Commission’s proposal to extend the unlimited imports of Ukrainian agricultural products by one year.

The protesters lined up hundreds of tractors and trucks along a 5km section of the road leading to the border station on both lanes blocking regular traffic. They put Hungarian flags on their vehicles and held up at the Záhony crossing banners with slogans criticising Brussels and the EC and expressing support for Hungarian agriculture.

István Jakab, the head of farmers’ association Magosz, said that “incompetent people” in Brussels were destroying Europe’s agricultural sector and the European people. He noted a similar demonstration staged against EU regulations by Hungarian farmers last September to protect the 5 million hectares of the country’s arable land.

Jakab said European farmers could not compete with Ukraine’s large producers and their off-shore registered foreign owners and investors “who want to put their hands on large sizes of arable land in Ukraine with Brussels’ help”. “And they want to first weaken and finally put their hands on the European market,” he added.

Balázs Győrffy, the head of the National Agricultural Chamber (NAK), called the EC’s proposal “absurd”, adding that “Brussels cannot force such a regulation onto Hungarian and other farmers in Europe”.

Read also:

  • PM Orbán meets farmers protesting in Brussels – Read more HERE

Here are some photos:

Putin about Hungarian re-annexation of Ukraine’s Transcarpathia in Tucker Carlson-interview

Putin talked about the Hungarian re-annexation of Ukraine's Transcarpathia

Russian President Vladimir Putin gave a more than 2-hour-long interview to former US Fox News anchorman Tucker Carlson in Moscow. During the interview, he talked about whether he ever mentioned the Hungarian re-annexation of Ukraine’s Transcarpathia and his journey to the Western Ukrainian region, where almost 100 thousand Hungarians live.

Ukraine’s Transcarpathia: not the home of separatism!

Not many foreigners tend to know, but those Hungarians did not choose to move to Ukraine. The borders moved above their heads. Hungarians born in e.g. Beregszász (Berehove), a town with a Hungarian majority close to the Hungarian border, in 1910 lived their lives in five different countries despite never leaving the settlement. They were born as citizens of the Austro-Hungarian Empire. In 1920, they became citizens of the newly formed Czechoslovakia. In 1938, they returned to the Hungarian Kingdom, and then, in 1944, they became the citizens of the Soviet Union. Finally, in 1991, they were granted Ukrainian citizenship in the newly-former Ukraine.

Of course, they wanted to preserve their language, culture, and traditions regardless of the country they lived in. Therefore, the Ukrainian nationalists regularly try to charge them with separatism, but such attacks lack any basis.

Since the armed conflict with Russia broke out in 2014, such allegations have come forth quite often. As a result, in 2018, for example, the central office of a Hungarian party in Ukraine was set ablaze.

Ukrainian politicians regularly claim that Hungary wants to take back Transcarpathia. That is why PM Orbán did not send weapons to Ukraine or block the country’s EU aid or EU accession before. They do not consider the fact that shortly after the first weapon delivery arrived in Transcarpathia, a Russian rocket destroyed a radio broadcaster there as a warning. And that was the only attack yet in Transcarpathia following the country’s 2022 Russian invasion.

Furthermore, they do not consider another matter. PM Orbán regularly tries to open up more room to manoeuvre in the European Union. Probably that is why he did not back Ukraine’s financial aid or EU accession for the first time last December. In return, Orbán wanted e.g. more money from the frozen EU RRF and development funds. He was unsuccessful. But such moves cannot be regarded as anti-Ukraine.

Putin offered Transcarpathia to Orbán?

Concerning Transcarpathia, the Hungarian government always expressed support towards Ukraine’s territorial integrity. And that is what Putin confirmed in his interview with Tucker Carlson.

Carlson’s question was quite unequivocal: “Have you told Viktor Orbán that he can have part of Ukraine?” “Never, I have never told him. Not a single time. We have not even had any conversations on that. But I actually know for sure that Hungarians who live there wanted to get back their historical lands”.

Putin also shared details about a trip to Transcarpathia’s Beregszász (Berehove).

“Somewhere in the early eighties, I went on a roadtrip in a car, from then Leningrad across the Soviet Union through Kyiv. We stopped in Kyiv, and then we went to Western Ukraine. I went to the town of Berehove (Beregszász in Hungarian, ed. note). All the names of towns and villages were in Russian and a language I did not understand: in Hungarian. In Russian and in Hungarian. Not in Ukrainian – in Russian and in Hungarian. I was driving through a village and men were sitting next to the houses. They were wearing black three-piece suits and black hats. I asked, are they some kind of entertainers? I was told no, they were not entertainers, they were Hungarians. I said, what are they doing here? What do you mean? This is their land, they live here. This was during the Soviet times during the 1980s. They preserved the Hungarian language, the Hungarian names, and all their national costumes. They are Hungarians and they feel like Hungarians“, the Russian president highlighted.

Putin wanted to continue with the infringement of the Hungarians’ language use rights, but Carlson interrupted. The two started to talk about other redrawn borders of the 20th century and dropped the problem of Transcarpathia and local Hungarians.

However, Putin’s reply on the matter was clear. They have never talked with the Hungarian prime minister about a re-annexation of the territory where fewer and fewer Hungarians live due to the war, poverty and Ukrainian ultra-nationalism.

Read also:

  • Meeting of Hungarian and Ukrainian foreign ministers held, with the Hungarian side asking for 11-point changes – Read more HERE
  • Terrorist attack in Ukrainian region populated by Hungarians – check out the 18+ VIDEO and more in THIS article

Here is the full interview:

United Nations must multiply counter-terrorism resources, says Hungarian foreign minister in NY

szijjártó ny united nations

The United Nations must multiply its resources spent on counter-terrorism, the minister of foreign affairs and trade said on Thursday.

Péter Szijjártó told public media during a visit in New York that the UN had handled counter-terrorism action as a “stepchild” for a long time. “The role it was able to fulfil depended on the voluntary donations of member states,” he added.

“For years we’ve been fighting for this situation to change”, and financing counter-terrorism is now part of the United Nations‘ central budget, he said.

The UN’s counter-terrorism efforts are currently managed from two locations: New York and Budapest, since the second largest unit of the UN Office of Counter-Terrorism operates in Budapest, he said. “Hungary therefore plays an important role in global counter terrorism efforts,” he added.

In addition to peacekeeping, counter-terrorism efforts must be among the most important tasks of the UN, considering that the world faces “the most severe threat of terror ever”, he said. “This started not only with the brutal terrorist attacks in Israel, but the threat of terrorism had already been at a very high level in Africa, the Middle East, South-East Asia and even in Europe, as a result of the development of parallel societies emerging from migration waves to western Europe,” he added.

Terrorism and illegal migration formed a “vicious circle”, he said, because when terrorism became increasingly severe in any one part of the world, migration sprang from that location and terrorist organisations abused illegal migration, hiding their terrorists in the uncontrolled waves of migrants. “If Europe gets hit by migration waves, it will increase chances of terrorists getting in,” he added.

He expressed hope that by keeping the waves of illegal migration under control, the threat of terrorism could be reduced.

Commenting on his talks with United Nations Secretary-General Antonio Guterres on Wednesday, he said the UN must play a leading role in counter-terrorism efforts and in peacekeeping. Several international organisations, he said, had failed in respect of the war in Ukraine, only making the situation worse with weapons transports and pro-war propaganda. He said the UN must step forward in this area, given that it was set up precisely to help communication between warring states.

Szijjártó said currently neither side was open to mediation, and the continuation of the war must be expected in Ukraine, despite the fact that “there is no solution on the battlefield”. European strategy “has been a complete failure”, he said. Those European politicians who say the developments in the battlefield would bring the situation closer to peace “cheated” the European people, he said. “They have either lied or assessed the situation completely falsely,” he added.

The foreign minister called freeing the hostages “the most important task” in the Middle East, adding that he agreed with the UN Secretary-General that Qatar should be given all possible support. He noted that Qatar’s mediation efforts had yielded results and the freeing of the first three Hungarian hostages were also thanks to that country.

Meanwhile, Szijjártó said modern-day anti-Semitism had spread “at a shocking rate” in western Europe and the United States in the recent months, with dozens of violent demonstrations held against Israel and with the harassment of Jewish communities and their members. “Those must be stopped,” he said. The minister called modern-day anti-Semitism a consequence of illegal migration in western Europe, saying that “aggressive migrants” had brought it with them as parallel societies had emerged.

With zero tolerance in place against anti-Semitism and a ban on pro-terrorist demonstrations, he said Hungary was the safest country for Jewish communities.

Szijjártó said that it had transpired from his meetings with US Republican politicians that they had extensive information about developments in Europe and in Hungary in particular, and they followed the activities of Prime Minister Viktor Orbán and his government “with great sympathy”. “They are keeping their fingers crossed” for the prime minister in his efforts to enforce Hungary’s national interests, protect Christian-conservative values and protect families while fighting illegal migration, he said.

Regarding the war in Ukraine, he said: “If someone tries to argue in favour of ending the war in Ukraine, they are immediately called Putin’s friend, a Russian spy or a Kremlin propagandist.” Related article: Hungarian FM Szijjártó receives Order of Friendship from Russian FM Lavrov

The foreign minister attributed Hungary’s success in the recent past to the “honest and clear political strategy” the country had pursued. Hungary, he added, had the political stability for this, based on the Hungarian people’s support of the government’s political strategy.

Speaking about the Hungarian opposition, Szijjártó insisted it was “led by the US ambassador to Budapest, which is a strange situation, a qualified case of [foreign] interference in a country’s internal affairs.” As we wrote a few days ago, the United States may introduce severe travel restrictions against several Hungarian politicians following the Global Magnitsky Act, details HERE.

Good question, is the Hungarian government’s campaign for Trump not interference in a country’s internal affairs? Read details: Orbán: Trump is our only hope

EU had proven ineffective in moving the war in Ukraine towards peace, says Minister Szijjártó in NY

António Guterres and Minister Péter Sztijjártó

The most important international task right now is to avoid an escalation in the war in Ukraine and the Middle East, Foreign Minister Péter Szijjártó said on Thursday, warning that if either of those conflicts spread to other countries, it could easily lead to a third world war.

Several international organisations have failed when it came to peace-making in recent years, Szijjártó, who is on a visit to New York, said in a post on Facebook. He argued that the European Union and other organisations had proven ineffective in moving the war in Ukraine towards peace over the last two years.

Instead of peace, there are weapons deliveries, which prolong the conflict and lead to more casualties, he added.

Meanwhile, Szijjártó said the global fight against terror had taken “a big hit” last October when Hamas launched thousands of rockets into Israel. He said the success of Israel’s counter-terrorism operations was a global interest, underlining the importance of protecting civilians and freeing the hostages.

“The United Nations is just about the last hope for preventing escalation in Ukraine and the Middle East,” Szijjártó said.

“I have assured Secretary-General Guterres that Hungary will provide all support to the UN in order to establish peace.”

He said Hungary had paid the last instalment of its member state contribution for this year at the end of January, making it one of the countries that ensures the effective functioning of the organisation.

The minister said that this was “not true for everyone”, noting there was a “rich and powerful country” that owed the UN budget hundreds of millions of dollars, thus threatening the effectiveness of its operations.

Szijjártó said the UN was a key organisation, as it provided a platform for communication even between nations that are at war with each other.

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Government wants to keep Hungary GMO-free

Government wants to keep Hungary GMO-free

Keeping Hungary GMO-free is one of the government’s priorities, and Hungary will insist that member states retain the right to decide on the technologies used on produce allowed into the country, an MEP of ruling Fidesz said on Tuesday in Strasbourg, in reaction to an European Parliament debate on new genomic technologies.

Edina Tóth said the report at the heart of the plenary debate “needs amendments”, calling for a clear distinction between NGT produce and organic agriculture.

Further, “GMO produce’s beneficial effect on climate change or food safety is yet to be proven,” she said.

The Fidesz delegation will not vote in favour of the report, she said. “We will protect Hungary’s GMO-free agriculture,” she said, adding that the rejection of such produce was also enshrined in the Fundamental Law.

Regarding the EC’s announcement on Tuesday on new climate goals, Tóth said “the timing is completely botched”. The announcement came at a time when “farmers are protesting against climate and agricultural policy decisions, and Europe is yet to catch up with its 2030 goal of cutting harmful emissions by 55 percent.”

Tóth said there was “cause for optimism” as the EC did not try to present the goals as draft legislation but kept it a simple proposal, “at right-wing pressure”. She also welcomed that, “at right-wing pressure and in view of the protests”, the EC announced that it was scrapping the proposal to slash pesticide use by 50 percent by 2030.

“That proposal would have ruined European and Hungarian farmers, as it would have sent food prices through the roof,” she said, pledging to “continue to protect European farmers, citizens and the industry from extreme, unrealistic EC proposals”.

Read also:

  • GMO-contaminated Ukrainian seed seized in Hungary – Read more HERE

Government views farmers as allies

The “inconsiderate and short-sighted” green policies of Brussels destroy European farmers, whereas the Hungarian government views Hungarian farmers as allies, ruling Fidesz MEP Balázs Hidvéghi said on Wednesday. Hidvéghi told MTI that “this alliance is demonstrated by the decisions and politicial support from us”.

Last year, Hungarian farmers received 1,300 billion forints (EUR 3.4bn) and in the period until 2027, “we will be able to pay them 2,900 billion forints of support, of which only 600 billion forints will be European Union resources,” he added.

“We do this because we are aware that without supporting farmers and agriculture, there will be no safe and quality food on our table,” Hidvéghi said.

At the same time, Brussels has signed trade agreements that benefited farmers from outside Europe.

He accused Brussels of serving foreign interests, adding that “completely absurd and ill-considered decisions have been made, so the farmers’ demands and protests are completely justified and fair”.

“It is unacceptable that over the excuse of the war, Ukrainian grain, chicken meat and other products have been allowed to enter the territory of the EU which has caused huge problems to European producers,” he said. He welcomed the fact that Hungarian farmers also expressed their opinion and participated in the protests, adding that the situation was very different in Hungary and in western Europe.

He said the government had been protecting farmers’ interests for years, citing protectionist measures in Hungary and other forms of financial support.

Orbán: Hungary key state during changing global power dynamics

Orbán cabinet gets rid of foreign companies in this skyrocketing economy branch

Hungary is a “key state” which takes it upon itself to represent regional interests as well, and represents values in connection with the changing world order that “differ from the usual”, the prime minister’s political director said at the presentation of a book on Hungary’s strategy for connectivity in Győr, in the northwest, on Tuesday.

Balázs Orbán, who is also chairman of the board of trustees of Mathias Corvinus Collegium (MCC), said the changing global power dynamics were also impacting the balance in world politics. He argued that the ongoing industrial revolutions were based on technologies requiring raw materials not available in Europe, making the continent vulnerable.

He said Hungary could choose to either apply an emotional approach to this change, or take it as something that is natural and try to manage the situation.

Though Hungary is “demographically not a significant country”, its level of technical development is high and its export power strong, Orbán said, adding that over the last 30 years, Hungary had become capable of producing what it needs and making sure that its goods are competitive in other parts of the world as well.

He said it was impossible to predict global developments, but a policy of a formation of blocs was not a solution. The emergence of blocs, he added, was dangerous for Hungary because it blocked breakout opportunities and posed a geopolitical threat.

Orbán said that the policy of blocs did not strengthen the development position of the United States, but instead accelerated change, arguing that Europe “fell to its knees” as a result of the US’ approach to the war between Russia and Ukraine, while Russia had been able to diversify its economy and strengthen its relations with China.

He said Hungary needed an approach that opposed the formation of blocs and was built on connectivity. Such an approach, he added, ended unilateral dependence, strengthened sovereignty and widened economic spectrums.

Orbán said this entailed government policies that focused on transport infrastructure developments and the establishment of logistics hubs while devoting attention to increasing value added in the economic output, and a foreign policy based on national interests.

Read also:

  • Orbán-university will conquer London? – Read more HERE
  • Government-close company acquires Hungary’s largest bookstore chain: governmental interference to come?

Budapest-Yerevan direct flight will be launched?

Budapest Airport

The President of Armenia, Vahagn Khachaturyan, said in his official visit to Budapest that his country would welcome Hungarian tourists and find a Budapest-Yerevan direct flight favourable.

rime Minister Viktor Orbán met Armenian President Vahagn Khachaturyan in his office in Budapest on Wednesday, and pledged to further strengthen diplomatic ties between the countries, the PM’s press chief said.

Orbán said the relations between Hungary and Armenia were strong and based on mutual respect, Bertalan Havasi said.

“Hungarians value Armenia’s cultural and Christian traditions. It is time we stepped up diplomatic relations too,” Orbán said.

At the talks, Orbán an Khachaturyan said economic cooperation was expected to develop apace in the coming period, especially in the areas of energy and tourism.

Read also:

  • Hungarian President calls for closer ties with Armenia – Read more HERE
  • Hungary provides humanitarian aid to Armenia

Agriculture minister discusses Ukrainian grain influx, farmers’ protests with Slovak counterpart

Agriculture Minister Istvan Nagy on Tuesday met his recently appointed Slovak counterpart, Richard Takac, to discuss the difficulties caused by the inflow of Ukrainian grain into European markets, the farmers’ protests in Europe, trade and animal health, the ministry said on Tuesday.

Nagy called for closer cooperation as a key to better representation of shared interests.

Even amid a “wholly new set of requirements” brought by the new Strategic Plans of the Common Agricultural Policy, Hungary managed to pre-finance 70 percent of the EU funding for 136,000 farmers, he said.

To protect Hungarian farmers, the government will maintain the ban on Ukrainian grain it announced on its own authority last year, “in view of the lack of EU action”, he said.

Nagy said Hungarian farmers would join the protesters in Brussels, demonstrating against EU agricultural policies. “Hungary would like as many member states as possible to support its fight in Brussels against the threat posed by Ukrainian agriculture.”

Ukraine’s EU accession would bring lasting difficulties for Hungarian producers “as Hungarian farmers working amid the limits of EU regulations can’t compete with [giant] Ukrainian farms which are in the hands of global capital and must abide by much laxer rules”, he said.

Nagy said Hungary’s upcoming EU presidency would head the negotiations on CAP regulations after 2027, adding that Hungary would focus on crisis management during the talks. Reducing food waste and preserving the EU’s “food sovereignty” will also be high on the agenda, he said. “We will insist that food arriving from third countries must fulfil the same requirements as EU produce,” he said.

VIDEOS: Here is why Hungary voted for Ukraine’s EUR 50 bn help

zelensky orbán

Hungary’s expectations had been fulfilled and therefore it had no reason not to support a proposal on financial help to Ukraine at the EU summit on Thursday, Foreign Minister Péter Szijjártó said in an interview with Belgian VRT TV.

In a video Szijjártó posted on Facebook on Sunday, he said a guarantee had been received that the money to be paid to Ukraine would not be the money that should be originally granted to Hungary. Additionally, the European Commission will prepare a yearly report and there will be a possibility for the Council to give guidance to the EC, he said.

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  • Russians outraged: ‘PM Orbán betrayed us!’

“And the most important thing on top of this was that the European Union should not finance delivery of weapons with our participation,” Szijjártó said.

It became obvious that the money sent to Ukraine will serve the operation of the state, covering social expenditures and others, and not weapon deliveries, he added.

 

GMO-contaminated Ukrainian seed seized in Hungary

harvest tractor agriculture grain

Thanks to repeated checks and strict food security regulations, officials of the National Food Chain Safety Office (Nébih) seized nearly 40 tonnes of GMO-contaminated maize seed originating from Ukraine in January, the minister of agriculture said on Saturday.

Istvan Nagy said on Facebook that the government would continue to protect Hungary’s food security and the interests of Hungarian farmers. The goal remains to ensure that Hungarians only receive excellent quality and safe food, he added.

As a result, Nébih will continue to perform regular checks, he said.

After detecting the nearly 40 tonnes of GMO-contaminated seed, Nébih launched proceedings against the distributor and arranged for the destruction of the stock, he said.

Read also:

  • PM Orbán behind closed doors about dangerous US-plan in Europe – Read more HERE
  • Hungary may contribute to establishment of arms purchase fund for Ukraine with special deal

“We resolutely maintain the position that the same regulations apply to agricultural products imported from third countries as to those produced in the European Union,” the minister added.

Hungary will maintain a national import ban on agricultural products from Ukraine as long as an international solution of equal effect is found, Nagy said.

The ban does not apply to seeds and transit shipments but the authorities will seal the shipments at the border and trace their transit through the country, he added.

Hungary becomes member of 8 European states’ hydrogen alliance including Ukraine

Hydrogen bus energy alliance

Representatives of nine central and eastern European and Baltic states, Hungary among them, signed the cooperation agreement of the 3 Seas Hydrogen Council in Paris on Thursday, aiming to develop the region’s hydrogen sector.

Czechia, Estonia, Hungary, Latvia, Lithuania, Poland, Slovakia, Slovenia and Ukraine signed the agreement at the sector’s largest conference, Hyvolution, the Hungarian Hydrogen Technology Association said.

The association said the aim was to explore and use opportunities to speed up the transition to hydrogen as an energy resource, aiding the fulfilment of zero-emissions goals.

Read also:

  • Orbán cabinet gets rid of foreign competitors in this skyrocketing economy branch – Read more HERE
  • Energy minister Lantos: Future of Hungarian industry is hydrogen – Details in THIS article

Association head Istvan Lepsenyi said signatories would work to ensure fair distribution of EU funding in central and eastern Europe. He said he hoped the agreement would support regional funding, cooperation in the sector and the development of competitive green energy.

Leaked: Hungary may contribute to establishment of arms purchase fund for Ukraine with special deal

Viktor Orbán Macron NATO EU

A new compromise proposal from Brussels would take into account Hungary’s position that it will not supply arms to Ukraine. According to the plan, Hungarian state money for the new Ukrainian arms purchase fund would be spent on non-lethal weapons, Politico has learned from a document it received.

A special deal: helping Ukraine

In fact, under a further compromise advocated by Germany, Hungary might not even pay its annual HUF 23 billion (EUR 59.5 million) into the fund. Instead, it would directly assist the neighbouring country. Then, the amount could be deducted from the obligation to pay into the fund, Portfolio reports.

According to the newspaper’s Tuesday morning Brussels newsletter, at the EU summit this Thursday (1 February), the leaders of the member states are preparing to reach an agreement on the Ukraine Facility, replacing the European Peace Facility (EPF) with an annual EUR 5 billion. To this, the Hungarian government would also contribute with the aforementioned special deal.

Hungary helps, but differently

The Hungarian side had already indicated its willingness to do so at last Wednesday’s meeting of ambassadors of the member states, which is why the compromise proposal has been prepared, the paper explains. An annual amount of HUF 23 billion would have to be paid into this fund, which would be used for non-lethal equipment in Ukraine.

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In fact, under a further compromise advocated by Germany, it is even possible that Hungary would not pay that sum into the fund, but would directly assist Ukraine. This could then be deducted from the obligation to pay into the fund. In this way, the Hungarian government could continue to maintain that it does not supply arms to Ukraine, while at the same time helping the war-torn country in the background with non-lethal equipment.

Berlin supports the plan

Berlin also wants its “in-kind contributions” to Ukraine to be recognised. In essence, this would mean deducting from the Member States’ contributions to the EPF those items that Member States have provided to Ukraine bilaterally. Thus, there would be no need to make two-way payments. On the basis of the above, his concession could even be used by Hungary to assist Ukraine on a bilateral basis.

At Thursday’s EU summit, the leaders of the member states will also decide on a third, broader issue: the mid-term review of the EU’s 2021-2027 budget. It includes the EUR 50 billion package for Ukraine over 4 years and the EUR 5 billion Ukraine Arms Purchase Facility.

Development of defence industry a priority of Hungarian EU presidency

European Parliament foreign diplomats

Less than six months before the start of Hungary’s European Union presidency, the bloc’s defence policy is focused on the development of the defence industry, the war in Ukraine and the security of the Sahel, the state secretary for defence policy and defence industry said after a meeting of EU defence ministers in Brussels late on Wednesday.

According to a ministry statement, Zsolt Kutnyánszky said participants had watched a video message from Rustem Umerov, the Ukrainian defence minister, asking for further support for Ukraine.

Several states’ representatives argued for the procurement of more ammunition and handing over “equipment in national reserves” to Ukraine, Kutnyánszky said.

At the same time, he said Hungary stood by its stance that it would not hand over or sell weapons or ammunition to Ukraine. The country “constructively abstained” last year, when the matter was voted on in the European Commission, he added.

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The meeting focused on the EU’s technological and defence industry, and the matter of a joint defence industry strategy, he said. Hungary has already started boosting its defence industry, with a view to supplying its own market as well as entering the European one, he said.

The defence industry’s development will be one of the focal points of the Hungarian EU presidency in the second half of 2024, he added.

Discussing security issues in the Sahel and the Red Sea region, Kutnyánszky noted Hungary’s active role in supporting stability there. It is launching a complex defence, agricultural and development programme in Chad, he said.

LEAKED: PM Orbán behind closed doors about dangerous US-plan in Europe

PM Viktor Orbán

PM Viktor Orbán rejected the EU’s EUR 50 billion financial support for Ukraine and the country’s EU accession last December. He and the foreign minister said that was because of Kyiv’s anti-Hungarian minority policies and because the country is one of the most corrupt states of the world, unable to end the war against Russia with victory. However, Direkt36, a flagship of Hungarian investigative journalism, discovered other reasons: Orbán’s dread of Washington is on the top.

The Americans would become too powerful in the EU

According to telex.hu, there was a meeting for the Hungarian parliamentary group leaders before the 23 March European Council session last year behind closed doors. Such meetings are regular, and the atmosphere is less tense than in parliamentary sessions, so the prime minister uses them to share his visions on these occasions.

At the 20 March meeting, he talked about Ukraine’s possible EU accession in detail. He said the USA promised Ukraine in 2022 that the beginning of the accession talks would start in 2023. That is because Zelenskyy would like to use that in his presidential campaign.

Orbán said that Hungary should not support Ukraine’s EU accession because that would shift power in favour of the Americans in Europe. That is because Washington’s influence is unquestionable militarily, politically, and economically in Ukraine, Poland, the Baltic states and even Romania is closely attached to America. Therefore, a new bloc would be created in the European Union where more people would live than in France and which would be economically stronger than Germany. That is because of the many American investments in the rebuilding of Ukraine. Moreover, a colourful revolution in Belarus could mean Minsk’s accession to that bloc.

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  • Orbán’s closest political advisor will help Trump win the presidency? – Read more HERE
  • State secretary: US ambassador has no respect for Hungarians – Details in THIS article

The Germans and the French rejected Orbán’s proposal

He shared that fear with the Germans and the French and proposed to smash that American plan by forming a new majority in the EU between the French-German tandem and the Visegrád Four countries. However, Berlin rejected the idea, while President Macron did not understand it.

Orbán said the German-French rejection was problematic because that is how they offered Central Europe to the Americans. And that is a problem because such a change would cross his strategic plans.

He believes that the globe’s economic centre will switch to Asia. The American answer is to divide regions and countries, resulting in a version of a new cold war with the Chinese. Meanwhile, Orbán’s strategy is to do business with both sides, take advantage of both sides, but remain sovereign in the next ten years. As a result, the Hungarian government would like to deepen their relationships with China and India.

Orbán said no to Ukraine’s extra money

In December 2023, Orbán rejected to vote for Ukraine’s EUR 50 billion bailout. He said he could not support an EU loan reaching that size, and Ukraine was too corrupt. The Hungarian proposal is to create an annual review system enabling Orbán to veto Ukraine’s support every year or gain benefits in return for his support.

On the other hand, he left the chamber following German chancellor Olaf Scholz’s bid. Thus, the European Council could vote for the beginning of Ukraine’s EU accession.

We shall see how the ‘show’ will continue this week.

Meeting of Hungarian and Ukrainian foreign ministers held, with the Hungarian side asking for 11-point changes

ukraine hungary foreign ministers

Encouraging steps have been made to restore an atmosphere of trust between Hungary and Ukraine, though the road ahead “is long and much work will need to be done”, Péter Szijjártó, the foreign minister, said on Monday, adding that Hungary was ready for this.

Bilateral ties deteriorated “because the rights of Transcarpathian Hungarians have been curbed again and again since 2015”, Szijjártó told a joint press conference after talks in Uzhorod (Ungvár) with Ukrainian counterpart Dmitro Kuleba and Andrij Yermak, the head of the presidential office. He added that ties had been dominated by unresolved issues rather than good relations, according to a ministry statement.

He said the law adopted by the Ukrainian parliament last December “undoubtedly stopped this negative spiral” but the government expected the rights afforded to the Transcarpathian Hungarian community to be restored to what they were in 2015.

“I want to emphasise … that Hungary wants no special treatment; we want nothing we didn’t have before…” he said.

Hungary, he added, has prepared an 11-point list of requests, including restoring the status of schools for ethnic minorities, the opportunity to sit school-leaving exams in Hungarian, as well as the unrestrained use of Hungarian in higher education, culture, public services and community life.

The ministers have also appointed a bilateral inter-governmental committee to finalise the proposals, he added.

“We came here to rebuild trust in bilateral ties. I think we agree that we have taken steps in that direction. We still have a long way ahead of us, and a lot of work to do, but we Hungarians are ready to undertake it,” he said.

Hungary’s position regarding Ukraine was clear and consistent in the past two years, Szijjártó said.

“We stand for Ukraine’s territorial integrity and sovereignty. We condemn the war and want peace in our neighbourhood,” he said.

The minister called for renewed efforts to restore peace in Ukraine. “Hungary is ready to continue making such efforts, because we know that lives can only be saved when there is peace,” he said.

He said that since 2022 Hungary had been carrying out the biggest humanitarian operation in its history, and some one million refugees had entered Hungary. Fully 5,442 Ukrainian children are attending 1,558 schools and kindergartens in the country, he added.

Meanwhile, Hungarian aid has reached some 500,000 families in 20 Ukrainian counties, including summer camps for 14,000 Ukrainian children, Szijjártó said, pledging to continue restoring hospitals, schools and doctors’ surgeries in various parts of Ukraine.

He also touched on the development of cross-border infrastructure, saying that the talks “have yielded results” in that area.

A 120 million euro logistics centre has been built on the Hungarian side of the border and a new border crossing will soon open between Nagyhodos and Velyka Palad (Nagypalád), he added.

They also agreed to expand road and rail crossings near Beregsurány and Záhony, and to explore the construction of a new bridge across the River Tisza, he said.

Szijjártó said he had also asked Kuleba to maintain reliable oil transit, and “to create a fair environment” for Hungarian companies in Ukraine.

He thanked Transcarpathia (Kárpátalja) governor Viktor Mikita for ensuring “that Hungarians and Ukrainians can live peacefully side by side”, adding that Mikita was “instrumental in dealing with attempts to artificially stoke tensions” in the region.

“Certain segments of the international media have made a sport of misconstruing and misrepresenting Hungary’s stance. Such activities could create tensions in everyday life as well as in politics.”

Szijjártó said he had assured Mikita within days of the start of the war that the Hungarian government “will consider all his requests immediately and fulfill them whenever possible”. Hungary has fulfilled that promise in the past two years and would continue to do so, he said.

Minister Szijjártó’s Facebook post with pictures:

 

Ukrainian reactions

Andriy Yermak, the head of the President’s Office, said

Ukraine had made “big steps” towards a meeting between Hungarian Prime Minister Viktor Orbán and Ukrainian President Volodymyr Zelenskiy.

Kuleba said Ukraine was “ready to resolve the debate on minorities’ rights with Hungary”.

As we wrote today, Brussels’ final warning to PM Orbán, Hungarian economy at risk if he vetoes – details HERE

EU commissioner: If situation in Hungary worsens, EC could block funds again

Vera Jourova

If the situation regarding the rule of law worsens in Hungary, the European Commission could block funds to the country again, European Commissioner for Values and Transparency Vera Jourova said in Brussels on Monday, adding that “this is a dynamic process”.

“Blockage of money always comes when the country does not fulfil something,” Jourova said, arriving at a meeting of the General Affairs Council. “And in the case of Hungary, it was the lack of certainty that the corruption and fraud has been prosecuted sufficiently. So, once Hungary started to reform the justice system, we started to release the money.”

The Financial Times on Monday said that under a confidential plan drawn up by Brussels, if EU leaders failed to reach an agreement on a 50 billion euro aid package to Ukraine at this week’s special summit, EU member states would publicly declare that “they cannot imagine” that Hungary would receive the funds it is owed. Read details HERE – Brussels’ final warning to PM Orbán: Hungarian economy at risk if he vetoes.

We also wrote today, EU had enough of Hungary’s antics, PM Orbán may lose his veto right.

Belgian Foreign Minister Hadja Lahbib told reporters in Brussels that the aim of the current Belgian presidency was to reach an agreement on aid for Ukraine at this week’s summit.

“We will see the alternative after the summit,” she said. “It’s better to wait and to try our best, to work hard to reach an agreement first. it’s the same draft that was on the table before, in December,” she added.