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Ursula von der Leyen, the president of the European Commission, has called for “swift” progress in restoring ties between Brussels and Budapest following Péter Magyar’s election victory, which ended Viktor Orbán’s 16 years in power.
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With most votes counted, Magyar and his Tisza party are set to win a super-majority in the Hungarian parliament, which he would need to undo the far-reaching reforms enacted by the prime minister in his self-styled “illiberal” democracy.
“Today, Europe is Hungarian, without any question. The people of Hungary have spoken, and they have reclaimed their European path. It is a victory for fundamental freedoms,” von der Leyen said on Monday afternoon, hailing the results.
“With this result, our union is stronger, our union is more united. It was an exceptional evening yesterday. Of course, we will start working with the government as soon as possible (…) to make swift and overdue progress to the benefit of the people,” she added.
“There’s much work to be done, as Hungary is coming back to the European path.”
Von der Leyen said contacts between Brussels and Budapest will begin “immediately” but the main phase of rapprochement will have to wait until Magyar formally takes office, which is expected to happen in mid-May.
Von der Leyen and Magyar belong to the same political family, the centre-right European People’s Party (EPP), but the Hungarian politician kept a distance from the Commission chief during his campaign to avoid attacks by Orbán’s camp.
In his victory speech, Magyar vowed to break Russia’s influence over the country and bring Hungary back into the European mainstream. He also asked several high-ranking officials, whom he deemed “Orbán’s puppets”, to leave their posts immediately.
“Hungary will once again be a strong ally representing Hungarian interests, because our country’s place is in Europe,” Magyar said.
Brussels will be his third visit after Warsaw and Vienna, he announced.
“You can already see that he’s very clear on the European path,” von der Leyen said.
Focus on the money
The reset of relations is intended to turn the page on Viktor Orbán’s disruptive premiership, which radically reshaped Hungary’s place in the 27-member bloc.
The European Commission keeps roughly €17 billion frozen in cohesion and COVID recovery funds due to an array of legal challenges with Budapest on the rule of law, judicial independence, academic freedom, asylum law and LGBTQ+ rights.
At the same time, Hungary is deprived of €1 million in EU funds per day for refusing to eliminate its long-standing restrictions on asylum procedures.
Separately, Budapest is waiting for the Commission’s green light for its €16 billion defence plan under SAFE, a loan-backed programme.
For Magyar, the release of the European money is a top priority. The incoming prime minister believes the super-majority will help him pass the reforms and meet the criteria that the Commission has established as a precondition for unfreezing.
“We will bring home the EU funds that are due to the Hungarian people,” he said in his victory speech among supporters waving European flags.
On Monday, von der Leyen expressed her hope that Magyar would make good of his “public comments” and extended her arm to resolve the thorny matter.
“For me, it’s very important that we work intensively with the new Hungarian government on funds (and reforms) that have to be delivered,” she said.
“Because the Hungarian people deserve it.”
The scenario has parallels with the victory of Polish Prime Minister Donald Tusk in late 2023, which later led to the release of €137 billion in EU funds.
A long to-do list
While Magyar has an eye on the frozen EU funds, there is much more on the to-do list that Orbán leaves behind.
The other member states expect the new prime minister to promptly lift Orbán’s contentious veto on the €90 billion loan for Ukraine. The blockage has infuriated other leaders, who see it as a blatant breach of the principle of sincere cooperation.
During the campaign, Orbán made the loan conditional on the resumption of oil deliveries through the Druzhba pipeline, claiming that Ukrainian President Volodymyr Zelenskyy was keeping it deliberately shut to interfere in the elections. Hungary, together with Slovakia, is blocking the 20th package of sanctions against Russia for the same reason.
Zelenskyy said last week that the repair of Druzhbawould be complete “this spring” and that the responsibility for the supply would lie “with the Europeans”.
It is not clear if Magyar intends to keep Orbán’s condition in exchange for approval.
Diplomats want the loan swiftly released to shield Ukraine from making painful cuts to its wartime budget and the sanctions enforced to weaken Russia’s energy revenues, which have soared as a result of the closure of the Strait of Hormuz.
Cyprus, the country currently holding the EU Council’s rotating presidency, intends to put the loan and the sanctions on the table “as soon as the conditions permit it, with a view to a swift conclusion of both files”, a Cyprus official said.
Other pending files are Ukraine’s accession process, which Orbán vehemently opposed, and €6.6 billion in military aid for Kyiv as part of the European Peace Facility (EPF).
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