PM Orban: Hungary Expects Real Wage Growth of 9.5–10 Percent This Year + Video

There are no indicators in which we have not made progress since 2010, yet we cannot be satisfied, Prime Minister Viktor Orban told lawmakers in parliament. He outlined the government’s 21-point action plan, which supports wage growth, businesses, and housing.

Prime Minister Viktor Orban in Parliament (Photo: Arpad Kurucz)

Mr. Orban stressed that the 1956 Revolution cannot be used as a basis to construe such a reasonable policy that simultaneously honors the heroes of the past and adapts to the circumstances of the 21st century.

You are mixing current foreign policy with historical commemoration, which is disgraceful. The leader of your party was an election observer in Crimea,

– PM Orban emphasized.

Family tax benefits are growing 

– You did not introduce the family tax benefit; we did. The debate is only possible because we introduced the benefits. That's the starting point, Mr. Orban said, responding to a question from Bence Tordai, a lawmaker of the opposition Dialogue (Parbeszed) party. Mr. Orban detailed that families can deduct 10,000 forints after one child, 20,000 forints after two children, and 99,000 forints after three from their taxes, with both spouses eligible for these deductions. He added that, as of January 1, 2026

• Families with one child will be able to deduct 20,000 forints,
• 40,000 forints if they raise two children, 
• and 198,000 forints, if they have three children. 

This system encourages families to have more children, and Mr. Orban said he believes that it's a good approach worthy of additional funding.

PM Orban recalled that before 2010, there were families aiming to live off of the child allowances, rather than raising children for their own sake, which stirred resentment among working families. At that time, they reached a conclusion not to remove child allowances, but to deliver the available resources to families through tax benefits linked to work.

 

Substantial progress since 2010

– In 1920, our enemies decided that Hungary should be small and poor. In 2010, the national side came to power, and we decided that Hungary should be great and prosperous once more. That is the aim of our economic policy,” Prime Minister Viktor Orban said in response to an immediate question from Laszlo Toroczkai, the leader of the opposition Our Homeland Movement. 

There are no indicators in which we haven’t seen progress since 2010, yet we cannot be satisfied because we are not yet large and prosperous enough. But we will be if we can continue governing,

– he added.

Although Our Homeland does not dispute the government's goal of making Hungary great and strong again, Mr. Orban noted, adding that what's needed now is a mutual acknowledgement of the facts. He pointed out that real wages have increased every year except one since 2012. 

This year, we expect real wage growth in Hungary to be between 9.5 and 10 percent,

– PM Orban emphasized.

Budapest-Belgrade railway 

– We keep hearing all these sneaky remarks from you about the Chinese. True, we are financing the Budapest–Belgrade railway with a Chinese loan, but this is a Hungarian investment. We are negotiating with the European Development Bank on a loan, which we also intend to use for railway development. We are working with loans that are available on the market.

Goods from Greek ports need to reach the European continent, and without the Belgrade–Budapest railway line, traders will choose alternative routes. This would mean a financial loss for us. It is an obvious national economic interest,

– Mr. Orban responded to LMP's Mate Kanasz-Nagy, who inquired about the Belgrade–Budapest railway line in light of a recent tragedy at the Novi Sad train station. The prime minister suggested that Mr. Kanasz-Nagy direct his additional questions to Janos Lazar. He reminded parliament that more people are using the railway since Mr. Lazar took over as minister, than before.

Cover Photo: Prime Minister Viktor Orban in Parliament (Photo by Arpad Kurucz)