Gergely Gulyas – Photo: MTI

Gulyás: Hungary to bolster EU competitiveness and deepen U.S. partnership

In Thursday’s Government Info session, Minister Gergely Gulyás and Government Spokesperson Eszter Vitályos shared updates on Hungary’s major diplomatic, economic, and legislative initiatives following a significant week. Key topics included Hungary’s role as EU presidency-holder at the recent European Political Community Summit, the impact of the U.S. election outcome, and the newly proposed 2025 national budget.

Minister Gulyás began by highlighting last week’s European Political Community Summit in Budapest, Hungary’s largest diplomatic event to date. The summit was followed by an informal EU Council meeting where the Budapest Declaration on competitiveness was adopted, addressing the EU’s need to overcome challenges and reduce operational costs that make Europe less competitive than the U.S. and China. “Brussels is frequently more part of the problem than the solution,” Minister Gulyás remarked, pointing out that regulatory burdens—especially over-reaching green policies—have often increased expenses for European businesses, weakening the EU’s competitive stance in the global economy.

Gulyás stressed that the declaration is only a first step in promoting competitiveness, noting that Hungary will continue its advocacy during its presidency. He acknowledged that systemic change requires ongoing effort but emphasized that recent decisions mark a shift toward more pragmatic economic policies.

Addressing foreign policy, the minister characterized the outcome of the recent U.S. election, which saw Donald Trump elected president, as a favorable development for Hungarian-American relations. President Trump’s prompt call to Prime Minister Viktor Orbán—his first call with a European leader—signals a potential strengthening of the U.S.-Hungary partnership. The Republican-led administration aligns with Hungary’s pro-peace stance, and Minister Gulyás expressed confidence in a more cooperative relationship moving forward, noting that the appointment of a new U.S. ambassador, who will work more in line with traditional diplomatic standards, will be welcomed in Budapest.

On the domestic front, he presented Hungary’s 2025 budget proposal, designed to foster economic stability, social support, and job creation. Central components of the budget include doubling the current child tax benefits, introducing a youth work loan to assist young people with housing expenses, and expanding home ownership and rental support. The budget also commits to a 30 percent wage increase for workers in water management and further salary hikes for teachers, reinforcing the government’s focus on increasing wages across essential sectors.

To support wage growth further, the minister outlined plans for a government-supported three-year wage agreement, aiming to set a gross monthly average salary target of HUF 1 million and a minimum wage of HUF 400,000. He expressed hope that the agreement, which involves mediation between employers and employees, will promote sustainable wage growth across Hungary.

Government Spokesperson Vitályos provided additional details on the budget’s infrastructure investments, announcing over 300 new projects for 2025 at an estimated HUF 810 billion. These include enhancements in transport, healthcare, and education infrastructure. Additionally, more than 500 projects are set for completion in the coming year, bringing total public investment to HUF 1.25 trillion, which is expected to contribute significantly to job creation and economic growth nationwide.

Concluding the briefing, Minister Gulyás encouraged citizens to participate in the ongoing National Consultation, inviting public input on key government priorities. He stressed that the initiative supports Hungary’s commitment to policies that safeguard national interests, strengthen prosperity, and reinforce Hungary’s active role within the EU and on the global stage.

Leave a Reply