Hungary’s new prime minister Peter Magyar will meet with the European Commission President Ursula von der Leyen in Brussels this Friday. This is his first meeting with the leaders of the EU at this level since his appointment.
Officials will undertake a wider two-day visit to the EU’s headquarters, which will include the meeting. Magyar’s visit follows his Tisza Party’s two-thirds parliamentary dominance in a high turnout April election that ended Viktor Orban’s 16-year stint.
One of the main objectives of this visit is to re-establish Hungary’s diplomatic ties with Brussels, as if we need to smooth things over a bit. The Prime Minister’s elections are viewed as a chance to heal the rift, and also to introduce a fresher chapter in the relationship after several years of disagreement and confrontational politics under the leadership of Orban.
While in Brussels, Magyar has also extended his diplomatic efforts to include talks with NATO Secretary General Mark Rutte and Prime Minister Bart De Wever.
Rule-of-Law Reforms Key to Unlocking €18 Billion
Magyar is keen to release some €18bn of withheld cohesion and recovery funds, the core of his Brussels talks. In 2022, Brussels first suspended financial assistance to the Government of Hungary under a conditionality mechanism that applies strictly to the government’s adherence to rule-of-law requirements.
Back then, European authorities raised acute worries about public procurement procedures, independence of the judiciary and the inadequate anti-corruption measures. Initial funding of €6.3 billion was frozen and additional funding was slowly suspended as the dispute continued.
These funds are normally the first ones that were used to fund infrastructure and development projects in Hungary. The financial freeze has seriously affected the national economy that has developed in the last few years. Hungary is expected to have an anemic economic expansion of 0.4 percent in 2025, after having suffered from stagnation, according to the OECD.
On Thursday, Magyar said he is hopeful that a deal will be made to free up the money, but that there are still a few sticks and stones to work out with regard to anti-corruption measures. He has received a strong mandate – and is now promising to implement the required legislative changes needed to meet European demands.
But EU officials insist the real unblocking of the funds depends on the successful implementation of concrete reforms. Hungary needs to enhance the National Judicial Council, reform the Supreme Court and give prosecutors the full powers necessary to address domestic fraud and corruption to achieve the required “super milestones”.
