PM Orban: Hungary to Rank Third in Economic Growth Next Year

In the past thirty years, our debates have primarily focused on how to secure our place in the Western world. Neutrality has largely been absent from Hungarian public discourse, but the time has come to introduce the concept and apply it in an economic context, Prime Minister Viktor Orban said on Hungary's public Kossuth Radio on Friday morning. He stressed that economic neutrality is in the best interest of the Hungarian people, and reiterated Hungary's long-standing position since 2015 that the EU’s external borders must be protected, and that the EU owes Hungary the funds for doing so.

PM Viktor Orban gives an interview to Kossuth Radio's "Good Morning, Hungary" program on May 3, 2024 (Photo: MTI/PM's Press Office/Zoltan Fischer)

– In Hungarian politics, the term "neutrality" has often been used over the past hundred years, but it has rarely been applied to the economy. However, the current global situation now justifies the concept of "economic neutrality," Prime Minister Viktor Orban said in an interview on Kossuth Radio's "Good Morning, Hungary" program. Mr. Orban emphasized that Mario Draghi, the former president of the European Central Bank, had prepared a report at the request of the EU, which revealed a significant problem: the EU is suffering from a major loss of competitiveness.

– The change in the world order and the rise of Asia are facts we must take into account. The report highlights the advantages Asia holds, PM Orban said, adding that there are two potential solutions: competition or the formation of blocs. For Hungary, the formation of blocs in the region would be a tragedy, as it would marginalize the country and limit its opportunities, he explained.

Hungary must compete, and a united world economy is a good thing,

 – Mr. Orban noted, adding that maintaining relations with both the East and the West is essential.

 

Neutrality serves the Hungarian people

In the past thirty years, our debates have primarily focused on how to secure our place in the Western world. Neutrality has largely been absent from Hungarian public discourse, but the time has come to introduce the concept and apply it in an economic context.

We have to look at the economy through its own logic, not through political logic, and economic neutrality is in the best interest of the Hungarian people,

 – Mr. Orban said.

PM Orban recalled that the Spanish prime minister, upon returning from China, emphasized that the European Commission's current policy of imposing protective tariffs was a mistake. He said he had spoken with major European car industry leaders who opposed any punitive tariffs on Chinese electric cars. The tariffs are supposed to protect the interests of European manufacturers, but the industry leaders want to compete, and the commission won't listen. "We need to work together with leaders who, like these car industry executives, believe in competition and are capable of changing Brussels' policy," Mr. Orban said.

 

Hungarian economy on the verge of a boom

There is a lively debate in Hungary regarding the state of the economy, with both intelligent opinions and some nonsense, Mr. Orban said. However, if we look at the facts, the Hungarian economy has weathered a difficult period and is now on the threshold of a boom, with inflation dropping below three percent.

He noted that Hungary's investment rate exceeded the EU average and that tourism numbers were at a record high, with more Hungarians able to go on vacation this year than ever before. These facts, he opined, were reasons for optimism.

According to the European Commission, Hungary’s growth could be the third-highest in the EU by 2025. "That's not bad, but we want to be first. The only thing that could derail these calculations is the war,

– he added.

According to Mr. Orban, the government is already discussing next year’s budget, which will focus on significantly increasing the minimum wage and wage floors. He also mentioned that talks are underway regarding the so-called workers' loan, which aims to provide easier access to loans for individuals who start working at the age of 17 or 18 and thus miss out on student loans.“Everyone wants to give more, but if these wage hikes are not implemented rationally, there will be layoffs,” Mr. Orban said. “The best approach is for workers and employers to agree on the amount of the pay rise. Then the government’s role is simply to announce the decision,” he added. He expressed optimism that an agreement covering the next two to three years could be reached.

 

A ceasefire is in everyone's interest

Hungary's prime minister also emphasized that the rational part of the world has always been pro-peace. 

We had to launch a peace mission to get Europe to start thinking about peace. It is in everyone's interest to have a ceasefire and peace negotiations. If there is no solution on the battlefield, then peace must be negotiated,

 – he added. Mr. Orban stressed that the situation is evolving and peace initiatives are also expected in the coming weeks.

 

Hungarians should be reimbursed for border protection

Regarding Germany’s reintroduction of border controls, PM Orban reminded listeners that Hungary has been advocating since 2015 for the protection of the EU's external borders. He noted that he never supported politicians who claimed that borders could not be defended. Consequently, Hungary has not become a country of immigrants, whereas countries that failed to defend their interests have become so.

Hungary belongs to the Hungarians. Period. This is only possible if we protect our borders,

 – Mr. Orban emphasized. 

He suggested that Germans are beginning to wake up and starting to realize the impact of terrorism, crime, and the social and financial burdens posed by migrants who refuse to work. This awareness, he said, is also becoming evident to the German Chancellor. According to PM Orban, this shift is a victory for democracy, as German leaders, pressured by public opinion, are finally siding with their own people on immigration issues.

Hungary held a referendum at the start of the migrant wave to gauge public opinion on this issue. Now, Western leaders would only need to take one additional step and not to penalize those who protect the EU's external borders.

It is a mess, a political confusion. The situation was created by European legislation, and it must be changed. The amount Hungarians have spent on border protection should be reimbursed,

 – he said, adding that Brussels owes Hungary this money and that payment is only a matter of time..

PM Viktor Orban appeared on Kossuth Radio's "Good Morning, Hungary" program at 7:30 this morning, where he also discussed the latest government decisions and plans.

Cover photo: PM Viktor Orban gives an interview to Kossuth Radio's "Good Morning, Hungary" program on May 3, 2024 (Photo: MTI/PM's Press Office/Zoltan Fischer)