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Photo of the day
May 27, 2015
morning issue
Upcoming events
President János Áder addresses
Budapest Council session
Plenary session of Parliament
MTI/ Zsolt Szigetváry
Zsolt Németh informs foreign
affairs committee on CoE Parl
Assembly session
Chief of Staff Tibor Benkő addresses
Peacekeepers’ Day event
Hungary’s food and animal health authority has ordered restrictions
to prevent horse swamp fever
Stats office releases March 2015
retail figures
TOP STORY
PM: EU MEMBERSHIP “IN HUNGARY’S INTEREST”
Hungary must remain a member of the European Union and NATO, the prime minister
said during questions in parliament.
In response to a question by Gábor Vona, leader of the radical nationalist Jobbik party, concerning whether a referendum
would be held on renegotiating Hungary’s position with the EU, Viktor Orbán said Jobbik “can hide behind a referendum”
but “the fact is that Jobbik wants us to leave the EU and NATO.” It is in the interest of the Hungarian people that Hungary
should remain a member of both organisations, he said.
Meanwhile, Jobbik lawmaker Ádám Mirkóczki asked Orbán to support a parliamentary debate on capital punishment,
initiated by Jobbik. Mirkóczki noted that in 2012 Orbán had referred to EU principles to explain why the death penalty would
not be restored. Noting the murder of a young tobacconist in south-west Hungary, Orbán insisted the EU had “attacked”
the implementation of real life prison sentences and now the situation had changed. If Brussels can “force” the country to
let habitual offenders back into society then “we shouldn’t take defensive action but instead take a step forward.”
“We need to respond by saying: let’s have a debate on capital punishment,” Orbán said.
Hungary Matters is an English-language newsletter produced and distributed by the Media Service Support and Asset Management Fund (MTVA)
with content provided by MTI Corp. MTVA exercises copyright over all content. No part of this publication may be copied, reproduced, redistributed
or transmitted without prior written permission from the publisher, with the exception of copies made by individuals for private use,
educational purposes or scholarly research, provided that such transmissions do not exceed the extent justified by the purpose and
are not aimed at financial gain, even indirectly, and the source name are indicated at all times.
All rights reserved. Enquiries should be made to the English Help Desk at +361 441 9340
For MTI’s real time coverage please visit http://english.mti.hu, http://econews.hu
May 27, 2015
morning issue
GYURCSÁNY’S FIRM
TO SUE PM FOR
“MALIGNANT” REMARKS
Altus, a company owned by former
premier Ferenc Gyurcsány, will file
a suit against Viktor Orbán, the
incumbent prime minister, for
his recent, “false and malignant”
remarks concerning a European
Commission contract the company
has won. Altus chief executive Klára
Dobrev, who is Gyurcsány’s wife,
said on Tuesday that Orbán had
been falsely suggesting that the
EU finances Altus under cover of
a business contract. Altus expects
Orbán to publicly apologise for his
remarks, she said.
In April, the government
appealed to the EC for information
concerning the 5 million euro
contract awarded to Altus, the
company selected to assess EUfinanced development projects
between 2014 and 2020. Cabinet
chief János Lázár said at the time
that Altus could not do the job
“impartially and without regard
to political aspects”, and added
that all this would harm trust in
European institutions. Lázár also
suggested that the move may
add up to illegal political party
financing.
Fidesz on Tuesday asked for a
government investigation into
the company’s EC contract. The
party has recommended changing
the rules on incompatibility of
positions and reviewing the
lawfulness of the contract between
Altus and the EC.
Speaking at a press conference
in Brussels, Gyurcsány said Orbán
was looking to “kill DK politically”,
adding that the prime minister
“would not succeed in doing so”.
Gyurcsány said the remarks made
by Orbán, his government, his
parliamentary group and his party
were “absurd”. The former prime
minister said his party “has a clear
conscience”. Gyurcsány said he had
contributed 1-2 million forints (EUR
3,000-6,000) to DK over the past
few years, and 16 million forints
last year. He said it was “none of
the prime minister’s or his party’s
business” how he spends his
income.
CATHOLIC UNIVERSITY
INTRODUCES “UNIQUE”
MANDATORY CLASS
ON HOLOCAUST
Péter Pázmány Catholic University,
based in Piliscsaba just outside
Budapest, will introduce a mandatory
class on the history of the Holocaust
from September, the university’s
rector said. In addition to the already
compulsory “Introduction to the
Catholic Faith”, students will be required
to complete studies on the Holocaust
as part of the basic curriculum and as
a prerequisite for graduation, Szabolcs
Szuromi said. Israeli ambassador to
Budapest Ilan Mor welcomed the
initiative, saying it was unique in Europe.
DUDA VICTORY
“COULD BRING HUNGARY,
POLAND CLOSER”
Relations between Hungary and
Poland may improve with the
election of Andrzej Duda, of the
Polish Law and Justice (PiS) party,
as the Polish president, a Hungarian
foreign affairs expert told MTI.
Duda’s victory came as a surprise,
and the Polish general election in
the autumn could make for a double
victory for the party if it is able to
form government, Miklós Mitrovits
said.
Duda is a conservative eurosceptic who is against in-vitro
fertilisation, laxer abortion laws
and same-sex marriage, Mitrovits
said, adding that he is expected to
keep strong ties between the church
and the state and take the stand on
symbolic national issues on the
international arena.
Duda’s PiS pursues as pro-Atlantic
foreign policy, so not much is
expected to change there, but
it is more pro-United States and
pro-NATO than pro-EU, he said.
While the ruling Civic Platform
(PO), former president Bronislaw
Komorowski’s party, has openly
criticised Hungary for its relationship
with Russia, and was also critical of
Hungary’s domestic and economic
direction, PiS has cited Hungary as
an economic example to follow,
Mitrovits said, adding that this could
bring changes for Hungarian-Polish
Hungary Matters is an English-language newsletter produced and distributed by the Media Service Support and Asset Management Fund (MTVA)
with content provided by MTI Corp. MTVA exercises copyright over all content. No part of this publication may be copied, reproduced, redistributed
or transmitted without prior written permission from the publisher, with the exception of copies made by individuals for private use,
educational purposes or scholarly research, provided that such transmissions do not exceed the extent justified by the purpose and
are not aimed at financial gain, even indirectly, and the source name are indicated at all times.
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All rights reserved. Enquiries should be made to the English Help Desk at +361 441 9340
For MTI’s real time coverage please visit http://english.mti.hu, http://econews.hu
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May 27, 2015
morning issue
relations after the new president is
sworn in. If PiS wins in the autumn,
nurturing of the traditional
Hungarian-Polish friendship could
come more into focus, he said.
CBANK CUTS BASE RATE BY
15 BP, AS EXPECTED
Hungarian rate-setters on Tuesday
cut the central bank’s base rate
by 15 basis points to 1.65%. The
decision was in line with market
expectations. The size of the cut
matched the reduction made a
month earlier.
In a statement issued after the
decision, the Monetary Council said:
“Cautious easing of the policy rate
may continue as long as it supports
the achievement of the medium-term
inflation target.” A cautious approach
is warranted by “uncertainty in the
global financial environment,” it
added.
The condensed minutes of the
meeting will be published at 2pm on
June 10.
Erste Bank analysts Vivien Barczel
and Gergely Ürmossy said after the
decision that the easing cycle could
continue in June with another 15 basis
point cut.
Takarékbank chief analyst Gergely
Suppán also augured another 15 basis
point rate cut in June, but suggested
it would be the last of an easing cycle
restarted in March. Tightening will
start no earlier than the autumn of
next year, he said, putting the end2016 base rate at 1.8%.
GOVT MULLS SUPPORT
PROGRAMME FOR BIG
COMPANIES
Hungary’s government is considering
creating a programme to support
large companies that are not eligible
for European Union cohesion funds,
deputy state secretary at the prime
minister’s office Nándor Csepreghy
said. Because big companies represent
a large portion of Hungary’s economic
output, the government wants to give
them opportunities and incentives for
investing in development projects,
Csepreghy said. The supported
companies have not yet been selected
as there have been no decisions taken
so far, he added. Funding could come
from the budget, he said, though
noting the importance of taking
into account fiscal constraints. Nonfinancial support could also be part
of the programme, he added.
Cabinet chief János Lázár said a
week earlier that the government was
working on the programme for some
100 big Hungarian companies.
HUNGARY, CHINA
ESTABLISH NUCLEAR
ENERGY COOPERATION
Hungary has signed a declaration
of intent on cooperating with China
in education and research and
development in the field of nuclear
energy in Budapest. The agreement
was signed by Hungary’s National
Development Minister Miklós
Seszták and the head of China’s
National Energy Administration
Nur Bekri. Hungary welcomes
China’s steps in the area of nuclear
energy, steps that could contribute
to a reduction in carbon emissions,
Seszták said.
Hungary signed a similar agreement
with Vietnam in the autumn of 2013.
HUNGARY “IN RUNNING”
FOR JAGUAR LAND ROVER
PLANT
Hungary is in the running to become
home to the new eastern European
plant of UK carmaker Jaguar Land
Rover, according to the Financial Times.
JLR, owned by India’s Tata group, is
finalising plans for the new factory and
has drawn up a shortlist of four host
countries: Poland, Slovakia, the Czech
Republic and Hungary, the paper said,
citing several people familiar with the
matter.
Autocar.co.uk said JRL bosses had
narrowed down the potential factory
site to two areas: one near Győr, in
north-west Hungary, which would
allow the company to take advantage
of the supplier base built up by Audi
around its engine and car plant in
the city; and the other somewhere in
Poland, though the industry portal’s
sources could not be more specific.
Autocar said the plant would build
models based on the company’s new
aluminium architecture and that the
upcoming Defender replacement
was the lead candidate for overseas
production.
Publisher in charge of production: László Zsolt Szabó, Director General of Media Service Support and Asset Management Fund (MTVA)
Publisher in charge of content: Ferenc Gazsó L., Director General of Hungarian News Agency (MTI)
Editors: Tamás Toót-Holló (MTI), Ferenc Pach (MTI)
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All rights reserved. Enquiries should be made to the English Help Desk at +361 441 9340
For MTI’s real time coverage please visit http://english.mti.hu, http://econews.hu
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