Losing Dominance, West Gives Bad Responses to Challenges, Orban's Policy Chief Says

Hungary has succeeded in building a complex, export-oriented and fundamentally innovative economy. After 2010, Hungary was able to move towards an open, export-oriented, complex economy and an economic model capable of growth.

2024. 02. 15. 13:29
ORBÁN Balázs
Budapest, 2023. december 12. Orbán Balázs, a miniszterelnök politikai igazgatója beszédet mond a új könyvének, a Huszárvágás - A magyar konnektivitás stratégiája címû kötet bemutatóján Budapesten, a Mathias Corvinus Collegium (MCC) Hunyadi Mátyás-termében 2023. december 12-én. MTI/Hegedüs Róbert Fotó: Hegedüs Róbert
Vélemény hírlevélJobban mondva- heti vélemény hírlevél - ahol a hét kiemelt témáihoz füzött személyes gondolatok összeérnek, részletek itt.

Connectivity is a good breakout point for Hungary, said Balazs Orban, the Hungarian prime minister's political director, at the launch of his book Hussar Cut: The Hungarian Strategy for Connectivity at the Ludovika University of Public Service (NKE).

The work focuses on the premise that "the 21st century will see the emergence of a new, more balanced world order". In the author's view,

the West, losing its dominance, gives bad responses to the new challenges: it is closing in, and opts for decoupling instead of connectivity.

After the collapse of the Soviet Union, the Western world and the United States consolidated their own political agenda and promoted it to other countries that were not part of the Western world. A unipolar world order emerged, and for several decades after 1990, neoliberalism became the model and organizing principle of globalization. When the policies of the Western world failed to come up to expectations, the West decided on a strategy of bloc formation, Balazs Orban explained.

In my view, the Western world has now lost its comparative advantages in the field of economy and technology. In terms of demography and raw materials, it is clearly losing out to the non-Western part of the world,

he continued.

We have left behind a period where the political and social system posed the real constraints to growth, Balazs Orban emphasized. Our economic cycles have diverged significantly from Europe's strongest economies, and in terms of economic output, the gap with Western Europe was steadily widening.

Starting from this situation, Hungary has managed to build a complex, export-oriented and fundamentally innovative economy.

In 2000, we ranked 23rd among the most complex economies in the Harvard Economic Complexity Index, while today we rank 11th, with a highly diversified export product structure, which is also extremely favorable in regional comparison,

he pointed out.

As a percentage of GDP, Hungary spent the most on culture and sport in Europe, and we have managed to prevent the collapse of the fertility rate, Balazs Orban said, speaking about figures.

After 2010, Hungary was able to move towards an open, export-oriented, complex economy and an economic model capable of growth,

he added.

In Balazs Orban's opinion, decoupling from Eastern countries impairs our chances of growth. At the roundtable discussion entitled Changing world, unchanging interests: Hungary's strategy for connectivity in a shifting world order, Balazs Martonffy, research director at the John Lukacs Institute, highlighted that

historians will analyse this as a specific kind of Hungarian model, and I'm sure they will also attach other adjectives to show how this sort of very high-risk, high-risk-tolerant, model-changing foreign policy, a foreign policy within the Western model, could be implemented by a state, with what motives, with what success, with what effectiveness.

Viktor Eszterhai, a research fellow at the John Lukacs Institute, stressed that the United States basically focuses on competition as a great power, but connectivity is also at play. In some areas, there is cooperation with China, for example. Balazs Tarnok, head of the Europe Strategy Research Institute, said that Europe is looking for its place in this new world order and the future will tell whether it can find it. This has not necessarily happened yet. European Parliament elections are coming up this year and Hungary will hold the rotating presidency from July 1.

Cover photo: Balazs Orban, the Hungarian PM's political director (Photo: MTI/Robert Hegedus)

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