The Hungarian government will continue its weekly cabinet meetings next week and has finalized the conditions of the new ‘Otthon Start’ housing loan scheme, offering a state-backed 3 per cent interest rate. At Thursday’s government press conference, Minister Gergely Gulyás said the programme incorporates numerous adjustments, including provisions for cross-border commuters who live in Hungary but work in neighbouring countries. This change came at the suggestion of local officials in Sopron.
Applicants will need to prove at least two years of social insurance coverage, which may include employment in neighbouring states. The scheme is open to those over 18 years of age and excludes anyone who, in the past ten years, has owned residential property in Hungary, except in cases of partial ownership under a certain value threshold. Loans can cover homes up to 100 million forints or rural properties and homesteads up to 150 million, with a 10 per cent down payment required. The property does not have to serve as a permanent residence, but it cannot be granted for use to others, though renting it out later is allowed.
Starting next week, all information about the Otthon Start programme will be available on a dedicated site on the official government portal, kormany.hu.
Gulyás also highlighted a newly announced annual one-million-forint subsidy for public sector workers, to be used for mortgage payments or down payments. The support will be tax-advantaged similarly to cafeteria benefits. The government expects hundreds of thousands to qualify, with around 300,000 currently employed in education and healthcare, roughly 20 per cent of whom hold mortgages. Full implementation details are due next week.
‘As long as the war continues, we cannot expect peace-time growth rates’
On the economic front, Gulyás pointed to Hungary’s 0.2 per cent quarterly growth, which places it among the top performers in the EU. Despite slow overall growth, he ruled out any budget revisions. ‘As long as the war continues, we cannot expect peace-time growth rates,’ he said, though he added that momentum appears to be building for the second half of the year.
The minister also addressed the European Commission’s recent trade agreement with the United States, calling it detrimental to European interests. He argued that the EU overstepped its authority by committing to American investments and arms purchases destined for Ukraine. ‘If Hungary had negotiated independently, a far better deal could have been struck,’ Gulyás said, reiterating that trade and investment policy are the prerogative of member states.
Regarding reports of EU purchases totalling over 700 billion forints, Gulyás criticized the lack of mandate behind the agreement. He also stressed that Hungary remains opposed to one-sided recognition of a Palestinian state and continues to insist on balanced diplomacy in global affairs.
The minister did not shy away from domestic political tensions. He condemned the Tisza Party as dishonest and characterless after its candidate András Kulja withdrew from a planned debate, allegedly fearing another public defeat. ‘In their previous face-off, Péter Takács wiped the floor with him,’ Gulyás claimed.
He also criticized opposition figures for failing to represent national interests in key policy debates, singling out Péter Magyar for absences during EU agriculture reform discussions, and took a swipe at Tisza Party advisor Attila Kökény, suggesting he lacks both proper qualifications and loyalty to Hungarian farmers.
‘This is a matter of sovereignty. The EU had no right to promise European investments or military procurement’
On Ursula von der Leyen’s agreement with Donald Trump, Gulyás said the Commission acted beyond its legal bounds and took on commitments it cannot fulfil. ‘This is a matter of sovereignty. The EU had no right to promise European investments or military procurement,’ he said. Gulyás also confirmed that a future meeting between Viktor Orbán and Donald Trump may take place soon, though not related to the disputed trade deal, which remains under EU jurisdiction.
In conclusion, Gulyás emphasized that the government’s policies, from housing to trade, follow a consistent logic aimed at strengthening Hungarian families and protecting national sovereignty, especially in the face of Brussels’ expanding ambitions.
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