Magyar pushes in Brussels to unblock billions in EU funds for Hungary

Hungary’s incoming leader, Peter Magyar, says EU money frozen during Viktor Orban’s long standoff with Brussels could begin reaching Budapest soon, after high-level talks on his first trip to the Belgian capital since his election victory.

The conservative politician flew to the centre of the European Union before formally taking office next month, signalling an early break with the rancour that defined Mr Orban’s 16 years in power.

After what he described as a “highly constructive” meeting with European Commission president Ursula von der Leyen, Mr Magyar said the two sides had agreed to meet again in late May to seal a plan for unlocking the cash.

“In one sentence: EU funds will soon start arriving in Hungary, enabling us to kick-start the Hungarian economy,” Mr Magyar posted online.

His goal is to persuade Brussels to release roughly €18bn that was withheld over rule-of-law and corruption concerns during Mr Orban’s government.

Time is short. The new administration has until the end of August to begin reforms needed to secure the remaining €10bn in Covid recovery funding, or risk losing the money entirely.

Ms Von der Leyen also struck a positive tone, describing her talks with Mr Magyar as a “very good exchange” and saying the pair had discussed “the steps necessary to unlock EU funds”.

“The European Commission will support your work to address these issues and realign with shared European values,” she wrote online.

That optimistic message was reinforced by European Council president Antonio Costa, who also held talks with Mr Magyar.

“The EU faces many challenges, but when we are united Europe always delivers,” Mr Costa wrote.

Hungary poised to ‘rejoin’ EU fold

EU officials believe Mr Magyar may be able to move quickly on reforms after winning a super-majority in parliament, giving him the numbers to push legislation through with ease.

In Brussels, the pace of his outreach — after years of deadlock and acrimony under Mr Orban — has raised hopes that relations can be reset faster than expected.

“We’ve never seen such a level of commitment from a government that isn’t even in office yet,” said EU lawmaker Daniel Freund, a longstanding critic of Mr Orban.

“It’s practically as if Hungary is rejoining the European Union.”

Outgoing Hungarian premier Viktor Orban spent years locked in disputes with Brussels

Officials say Brussels could hand Mr Magyar another early political boost by approving a separate €16bn in preferential defence loans, which were delayed as tensions with Mr Orban escalated before Hungary’s election.

Still, some diplomats warn that friendly rhetoric will not be enough on its own, and that only firm action will show whether Budapest is truly changing course.

“So far, wait and see,” one EU diplomat said, speaking on condition of anonymity. “But that might change, considering all the good things he says and does.”

‘New chapter’ with Ukraine?

As Brussels negotiates the reform path it expects from Mr Magyar, European leaders are also looking for a shift on Ukraine after Mr Orban held up a series of EU measures backing Kyiv in its war against Russia.

The prime minister-in-waiting offered an encouraging signal on Tuesday, saying he hoped to meet Ukrainian President Volodymyr Zelensky in June to “open a new chapter”.

Even before Mr Magyar formally assumes office, Mr Orban’s defeat has already eased some of the bloc’s biggest disputes with Budapest.

Last week, the 27-member EU approved a huge loan for Ukraine as well as a fresh sanctions package against Russia, both of which Hungary had delayed for months.

European partners now want Mr Magyar to release EU funds earmarked for arming Ukraine, which have been blocked for years.

They also expect him to drop Mr Orban’s veto that has stopped Kyiv from advancing to the next stage of its bid to join the bloc.

EU officials maintain that Ukraine should be allowed to move forward in the laborious accession process, even if major European powers show little appetite to accelerate Kyiv all the way to full membership anytime soon.