The university's president and rector, Michael Ignatieff, said: "Over the course of 20 months CEU has taken all steps to comply with Hungarian legislation, launching educational activities in the US that were certified by US authorities. Nevertheless, the Hungarian government has made it clear it has no intention of signing the agreement that it negotiated over a year ago with the State of New York, which would ensure CEU's operations in Budapest for the long term. CEU has been forced out."

Ignatieff continued: “This is unprecedented. A US institution has been driven out of a country that is a NATO ally. A European institution has been ousted from a member state of the EU." He said the Hungarian government had done an injustice toward its own citizens, the hundreds of Hungarians who work and study at CEU, and thousands of Hungarian alumni and their families.

A CEU statement further said the excellence of its academic programmes has been certified by US education authorities and the Hungarian Accreditation Committee.

It called the "arbitrary eviction of a reputable university" a "flagrant violation of academic freedom" and "a dark day for Europe and a dark day for Hungary". The university further regretted that the government had "refused to listen to the representations they received from members of the US Congress, the Office of the Governor of the State of New York, the Venice Commission, members of the European Parliament, leaders of universities around the world, over two dozen Nobel Laureates, but above all, the thousands of Hungarians from all walks of life who demonstrated peacefully and called for 'free universities in a free country'."

It said CEU is registered in Austria to issue US-accredited degrees and will welcome all incoming students to its Vienna location in September 2019, adding that enrolled students will complete their studies in Budapest.

Speaking to the press, Ignatieff said the university had fulfilled all its legal obligations according to the State of New York but the government had refused to accept this stance. He said CEU had sought to fulfil its obligations under the amended higher education act but for the sake of the students it could not wait any longer. The rector said he believed the government did not want to resolve CEU's situation.

Ignatieff said Hungarians would have to ask themselves who wins under the current situation and whether what was happening with CEU would benefit Hungarian higher education and academia. He added that the rule of law and academic freedom were inseparable.

CEU deputy rector Zsolt Enyedi said CEU had lost hope of extending its operating permit. Deputy rector Eva Fodor said the most important thing for CEU over the coming period would be ensuring that its quality of teaching and learning does not decline. She said CEU also had to focus on preserving its unity, stressing that it would remain a single institution despite the fact it would operate at multiple venues.

A spokeswoman for the US State Department, Heather Nauert, said the US government was "disappointed" that the Hungarian government and CEU had not concluded an agreement to allow the university to continue its US-accredited programmes in Hungary. "Since the Hungarian government amended its law on higher education in April 2017 we have worked diligently with both parties to find a solution that would allow CEU to preserve these programs in Hungary," Nauert said.

"The United States values the role that CEU and other American educational institutions play in building connections between the Hungarian and American people and strengthening the transatlantic bond. The departure of these US-accredited programs from Hungary will be a loss for the CEU community, for the United States and for Hungary."

CEU is accredited in the US and Hungary with 1200 master's and doctoral students in the humanities, social sciences, business, law, cognitive and network science. The university employs 770 staff and faculty. It contributed HUF 8 billion to the Hungarian economy each year in taxes, pension and health contributions, and payments to suppliers, the university said.

Hungary's amended higher education act requires foreign colleges and universities in the country to operate on the basis of an interstate agreement and to run a campus in the country in which they are based.

Government spokesman István Hollik called the Central European University's announcement "a political bluff". The George Soros-founded university will keep several of its courses running in Budapest, Hollik said in a video message posted on the government's portal He said: "This makes it clear to everybody that the whole affair is nothing else but the usual political bluff by Soros which the government does not wish to deal with."

István Hiller, deputy speaker of parliament for the opposition Socialists, said "ousting" CEU from Budapest is nothing else but "a political decision". Hiller argued that the university had fulfilled all the criteria set by the government and the amended education law. He called the affair "a violation of academic and scientific freedom", adding that "it is unprecedented in Hungary's post-transition history that an institution recognised by an allied state has been driven out of the country".

The leftist Democratic Coalition said the Hungarian government has chased away CEU from Hungary, calling the day of the announcement "a dark day for Hungarian higher education, academic autonomy and scientific life”.

The party’s deputy group leader, Gergely Arató, said the decision carries the message that Hungary does not need knowledge, innovation and responsible thinking, Arató said the system that closes university faculties is "nothing else but dictatorship".

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