Hungary’s New Leader Vows to Reset EU Relations Damaged by Orban

Peter Magyar Photo by Akos Stiller /Photographer: Akos Stiller/Bloom

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(Bloomberg) — Hungary’s next leader Peter Magyar said he wants to bring his country back into the European fold in a clean break with Prime Minister Viktor Orban’s 16 years of antagonistic rule. 

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Speaking in his first post-election news conference on Monday, Magyar called for a swift transition of power following the country’s historic vote to allow him to move quickly to tap frozen European Union funds. 

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While he criticized Orban for reducing Hungary to a “Russian puppet,” he signaled he would be pragmatic in dealing with Moscow, which continues to supply most of his country’s oil and gas.

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Magyar’s promise of a reset in relations with European partners comes after Hungarians turned up in record numbers to give his Tisza party a two-thirds parliamentary majority needed to reverse the country’s slide into authoritarianism.

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Magyar said he spoke with European Commission President Ursula von der Leyen, who said earlier Monday that she would start working with the new Hungarian government “as soon as possible.” 

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The EU has been withholding more than $20 billion of funding for Hungary due to corruption and rule of law concerns under Orban, money that is crucial for reviving the economy and which underpinned a months-long currency rally.

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Bringing home EU funds is a “priority” for a cash-strapped budget, Magyar said during a news conference that lasted three hour. Standing against the backdrop of Hungarian and EU flags, he added that he’d get the economy in shape to be able to eventually join the euro.

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While Hungary is bound to have “debates” with the EU going forward, Budapest would work constructively with Brussels, Magyar said. He said he won’t stand in the way of Ukraine receiving a €90 billion ($105 billion) EU loan, which Orban has been blocking, but added that his country would maintain an opt-out from participating in the assistance financially.

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The pro-Kremlin foreign minister, Peter Szijjarto traveled to Moscow more than a dozen times since Russia’s invasion of Ukraine, often to ink and affirm natural gas and oil deals. 

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During the election campaign, leaked transcripts of phone calls showed Szijjarto had volunteered to Russian Foreign Minister Sergei Lavrov his services to dilute EU sanctions against Russia. Szijjarto had called it routine diplomacy, while Magyar has called the minister a “bag carrier” for Lavrov.

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Magyar called Russia a security risk for Europe and plans to re-evaluate those ties. He intends to diversify energy imports without stopping Russian deliveries, which he compared to “shooting oneself in the foot.” 

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On Monday, Magyar alleged, based on information he said he’d received, that Szijjarto had shredded documents relating to EU sanctions inside the foreign ministry in Budapest. The foreign ministry didn’t respond to a phone call seeking comment.