BRUSSELS – European Union leadership will sit down Wednesday with Hungary’s new administration to negotiate what changes are needed to unlock 17 billion euros in frozen EU funding that was withheld from the previous government over legal compliance issues.
Time is running short for some of these blocked funds – particularly 11 billion euros (approximately $13 billion) from the pandemic recovery program – which must be accessed by mid-August or will be permanently forfeited.
The discussions will include European Commission President Ursula von der Leyen and Hungary’s new prime minister Peter Magyar, according to Commission officials.
This marks the third meeting between representatives from both sides following Magyar’s Tisza party’s decisive April 12 election win, which secured him a commanding two-thirds parliamentary majority and the constitutional amendment power that comes with it.
EU representatives believe this supermajority position will enable Magyar to implement required legal reforms rapidly to access the urgent funding.
Commission spokesman Olof Gill explained the meeting’s purpose during Monday’s press briefing: “These meetings are fully focused on how to make progress on unblocking EU funds earmarked for Hungary.”
Gill further emphasized the urgency: “We want to engage in a structured and focused way with the incoming Hungarian government to make sure that at the earliest stage, every action that needs to be taken is taken so that the people of Hungary, for whose benefit those funds were intended, can benefit from them at the earliest stage.”
The European Commission suspended Hungary’s fund access after Viktor Orban’s former administration failed to meet EU rule-of-law requirements.
Beyond funding discussions, Wednesday’s talks may address Hungary’s potential return to the Erasmus student exchange program, which has been suspended since early 2023 due to academic freedom concerns within the country.
Additional topics could include ending the previous Hungarian government’s opposition to EU reimbursements for military aid that member nations have provided to Ukraine in its defense against Russia’s 2022 invasion, according to officials.
