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European Commission officials will meet Péter Magyar’s incoming team on Friday, as Brussels races against time to release EU funds that have been frozen during the current Orbán administration.
Magyar secured a sweeping victory in last Sunday’s election, ending Viktor Orbán’s 16-year rule. A key campaign pledge was to restore Hungary’s ties with the EU and unblock billions in funding that had been withheld over rule-of-law and corruption concerns. Of the €27bn earmarked for Hungary, €17bn remains frozen.
“The clock is ticking for several topics, whether we’re talking about the Ukraine loan, whether we’re talking about Next Generation EU funds. It is in the interest of Hungary, it is in the interests of the EU, that we make progress as soon as possible,” Commission Spokesperson Paula Pinho said.
Euronews understands that the EU delegation will include experts from the budget and the Recovery and Resilience Facility (RRF) — the EU’s post-Covid recovery fund. They are expected to provide technical assistance to Magyar’s team to help amend legislation in Hungary.
“There’s a big menu from which to choose, and these are first talks. Not sure we’ll be able to cover everything” Pinho added.
The recovery funds question is particularly urgent: Hungary stands to lose nearly €10bn if payments are not disbursed before the end of August.
On Monday, Magyar outlined a four-step plan to meet the conditions for accessing the funds, including joining the European Public Prosecutor’s Office, restoring judicial independence, and safeguarding academic freedom.
Magyar has already spoken twice with European Commission President Ursula von der Leyen, who pledged her support. The decision by Brussels to send a delegation just five days after the vote is widely viewed as a political signal in its own right.
“There is swift work to be done to restore, realign, and reform” Ursula von der Leyen said in a post on social media following her call with Magyar on Wednesday.
Ukraine-related disputes also on the agenda
Unblocking EU funds will not be the only item on Friday’s agenda. Hungary has a raft of outstanding disputes with Brussels, particularly over Ukraine. The country is currently withholding the EU’s €90bn aid package to Ukraine, after Orbán blocked a previously agreed decision at the March EU summit.
Hungary has also held up the opening of negotiating chapters in Ukraine’s EU accession process and withheld payments through the Ukraine Peace Facility.
It remains unclear whether an agreement on EU funds and Ukraine-related issues will be bundled together. Brussels has stressed that it is not imposing any new conditions for releasing the funds and that its stance on the Ukraine loan remains unchanged.
For Magyar’s incoming government, moving quickly to endorse Ukraine-related commitments upon taking office carries political risks. During the campaign, Orbán repeatedly cast Tisza as a puppet of Ukraine and Brussels. On Wednesday, Magyar urged Orbán to lift his veto before leaving office.
Hungary blocked the Ukraine loan partly over a longstanding dispute concerning the Druzhba oil pipeline, a key artery of Hungary’s energy supply that was damaged in a Russian strike in late January.
“In the next 30 days, the Orbán government is still operating as an executive government. So I think, if Druzhba restarts, Viktor Orbán will release his technical veto” Péter Magyar said in an interview with the Hungarian public broadcaster on Wednesday.
Ukraine had been reluctant to carry out repairs, citing technical difficulties and security concerns. However, days after the Hungarian election, President Volodymyr Zelenskyy announced plans to restore the pipeline by the end of April.