The government’s primary focus for the current year is the restoration of economic growth while continuing to reduce the budget deficit and national debt.
The Prime Minister stated that both the European and Hungarian economies are influenced by the Russo-Ukrainian war. If the war were to end, both economies could show their ‘better side.’
Mihály Varga recalled that during the pandemic, it became evident that Hungary needed to increase its self-sufficiency in the health industry. Therefore, in 2020, the government launched the Healthcare Industry Support Programme, which, among others, has now facilitated Medicor’s investment.
The 2024 budget is a defence budget because during times of war, Hungary needs a budget that guarantees its security, protects families, pensions, jobs, and reduces utility costs, the Hungarian finance minister stated in parliament on Tuesday.
Viktor Orbán explained why his politics will eventually be proven right: ‘We were the only ones who said that borders must be protected during the migration crisis. Later, more and more EU member states realised that we were right. The same will happen regarding the war’, he underlined.
The Hungarian government has implemented measures to protect Hungarian families and businesses against high inflation. As a result, the inflation data in recent months indicate a systematic, continuous, and visible decrease in inflation.
The minister announced that the government has imposed a ban on 25 agricultural products from Ukraine, including grain, sunflower seeds, cooking oil, and specific meat products until 30 June. He also noted that while according to the European Commission, Ukrainian grain exports should be facilitated to ease the food shortage in Africa, these imports could ‘ruin the Hungarian agricultural market instead’.
According to the National Bank’s forecast, slow disinflation is expected in March, followed by a strong disinflationary trend, with a good chance of reaching single-digit inflation by the end of the year.
In his regular Friday morning interview on public radio, the Prime Minister said that he believes this is the closest the world has ever been ‘to a localised war turning into a world war’.