Hungary Opposes Separate Euro Zone Budget

  • 5 Dec 2018 7:34 AM
  • Hungary Matters
Hungary Opposes Separate Euro Zone Budget
Hungary does not support the proposal to create a separate euro zone budget, as such a concept would be against the country’s interests, Finance Minister Mihály Varga was quoted as saying at a meeting of EU finance ministers in Brussels.

Varga told his EU colleagues that having a separate budget for the countries that share the common currency could present serious risks.

A euro zone budget would unnecessarily deepen the existing divide between euro zone and noneuro zone members, he said.

Varga said all EU member states had a duty to develop their economies, help the less advanced countries catch up with the more prosperous ones and promote innovation and R&D. But the passage of a joint euro zone budget would restrict non-euro zone countries from financing the bloc’s common goals.

The idea for a euro zone budget was proposed by German Chancellor Angela Merkel and French President Emmanuel Macron in June after their meeting at Merkel’s Meseberg retreat outside Berlin.

The creation of such a budget requires the backing of the other 17 euro zone countries.

Several other countries, including the Netherlands and Finland have also expressed their opposition to the plan.

MTI Photo: Koszticsák Szilárd

Related links

Most Hungarians Want To Adopt Euro

Economy Minister: Hungary In No Rush To Adopt Euro

  • How does this content make you feel?

XpatLoop Media Partner

Hungary Matters

Launched in January 2014, this twice-daily newsletter covers 'everything you need to know about what’s going on in Hungary and beyond', according to its publisher the state media agency MTI. Click the title above for more info, and to subscribe.

Explore More Reports

  • Minister Says Hungarian GDP Could Be Down By 6.4 Percent In 2020

    Minister Says Hungarian GDP Could Be Down By 6.4 Percent In 2020

    • 28 Oct 2020 9:07 AM

    The GDP of Hungary could fall by 6.4% this year and economic trends could start to change from the second quarter of 2021 with a vaccine against the coronavirus possibly available by that time, Finance Minister Mihály Varga said at an annual hearing before a parliamentary committee.

  • Hungary Winning VAT Evasion Fight

    Hungary Winning VAT Evasion Fight

    • 11 Sep 2020 10:04 AM

    VAT evasion in Hungary was cut from 21% in 2013 to 6.6% in 2019, the European Commission announced on Thursday.

  • GDP Could Shrink By 5%, Says Hungarian Finance Minister

    GDP Could Shrink By 5%, Says Hungarian Finance Minister

    • 27 Jul 2020 9:38 AM

    The economy picked up slightly in June, but GDP may still decline by 10% year-on-year in the second quarter and shrink by 5% in the second half of the year, exceeding the previously expected, now optimistic 3% forecast, Minister of Finance Mihály Varga told Kossuth Rádió last week.