OREANDA-NEWS The most important outcome of the Wednesday debate in Brussels is that Prime Minister Viktor Orbán and the Government defended the country’s interests, János Lázár, the Minister heading the Prime Minister’s Office said at the press conference Governmentinfo 86.

The Minister said at his Budapest press conference on Thursday: if Mr Orbán had not gone to the session of the European Parliament – where one of the items on the agenda was the situation in Hungary –, “they would have wiped the floor with us”. While there were some “hysterical attacks” at the plenary session, the Hungarian position was stated in a calm fashion, “we represented a truly civic position”, he said.

In the case of the infringement proceedings instituted by the European Commission on account of the amendment of the higher education legislation, Mr Lázár drew attention to the fact that the Brussels body did not express concerns for the freedom of learning, but due to business issues, the free flow of services. He stressed: the legislative amendment does not affect the future of the Central European University, it may continue to operate freely, but may only issue one degree in the future, instead of two.

He added: after a constructive debate regarding the situation, Hungary is ready to ensure that the Hungarian laws comply with EU law in every respect, including the amendment of the higher education legislation, which they will consider in the wake of the European Commission’s proposal as they will work out a legal solution in response to that. “It is much easier like this, that we do not want to talk about the freedom of learning, but about business issues”, he repeated.

He also said that Kristóf Altusz, the Commissioner appointed by the Prime Minister to conduct the talks related to international universities, has had meetings regarding the case of the CEU with the embassies and representatives of several foreign countries, and he will meet with the US chargé d’affaires shortly as well.

In his view, it is plain for everyone to see in this case: it is not about higher education, but about the fate of György Soros. It is not higher education that is in jeopardy, but the interests of a “speculator”. With this, Mr Lázár sought to respond to the meeting of György Soros and President of the European Commission Jean-Claude Juncker on Thursday. How could the very person who speculated against the British pound, the euro and the Hungarian forint deserve the particular attention of the leaders of the Brussels Commission and special treatment? He asked the question, saying: one must obviously be a speculator in order for one to be taken seriously by the leaders of the European Commission.

In the context of EU topics, he spoke about illegal immigration, reiterating that Hungary and the EU party decided to set up a task force regarding the assessment of the Hungarian border closure. The Hungarian position is that „instead of organising immigration, we seek to stop it”, he repeated.

He further told the press that, in consequence of the legal border closure, the number of those staying in Hungary as illegal border-crossers has decreased significantly. There are 600 individuals at the reception centres at present. In total, 206 persons submitted asylum requests in the transit zones between 28 March and 26 April, and 108 persons have been granted international protection and refugee status so far, he informed members of the press.

The head of the Prime Minister’s Office said with respect to the bill on the transparency of organisations funded from abroad which was also on the agenda in Brussels yesterday: those who accept money from abroad cannot be ashamed when it comes to disclosing that information to the public. There are organisations which are intensively involved in the shaping of public life in Hungary, and represent the interests of illegal immigrants against Hungary, he said, mentioning as examples the Hungarian Helsinki Committee and the Hungarian Civil Liberties Union, describing them as „Soros’s favourites”.

In answer to a question, he also mentioned the environmental organisation Greenpeace, which he expects to take action in all environmental issues related to the Paks enlargement project. In his view, once the information is available regarding where Greenpeace in Hungary receives funding from, it may well transpire whether they voice their own conviction or represent the green energy lobby.

Regarding the ongoing national consultation, the Minister informed the press that more than 470 thousand questionnaires had been sent back, and another 52 thousand citizens stated their opinions via the Internet. This participation rate is higher than at the time of the 2015 immigration consultation, he indicated.

Mr Lázár spoke about Prime Minister Orbán’s repeated visit to Brussels at the weekend, as part of which he will meet with the leaders of the European People’s Party and will attend the Brexit summit. Regarding the People’s Party, the head of the Prime Minister’s Office said that Fidesz does not wish to leave the party family, and the government party likewise does not expect to face expulsion. In his view, the leaders of the European People’s Party may be aware that the idea of the expulsion of Fidesz does not originate from the realms of the People’s Party, but from the communists and socialists.

At the press conference, he also confirmed that he will file a report with the Chief Prosecutor’s Office against unknown perpetrators in the case of the IT system that was used for the assessment of EU proposals as the European Commission concluded that Hungary grossly violated EU regulations between 2003 and 2009. As he said, the National Development Agency under the leadership of Klára Dobrev invited proposals in 2003 with a specific company group in mind, “beyond doubt, in response to the idea of Altus” as the signatories to the contract work for the group today. The Brussels Commission presumes a case of market collusion, and the situation must be clarified, he highlighted, adding that the Government accepts the Commission’s findings.

Budget proposed for next year to be submitted to Parliament on 2 May

The Government will submit its proposal regarding the 2018 budget to Parliament on 2 May, and the House will approve it by 15 June, Mr Lázár told the press. The Minister heading the Prime Minister’s Office said that the budget will be characterised by a high degree of predictability and stability, and developments will be carried out against the background of the ongoing reduction of the sovereign debt.

He said: the deficit is planned to be around 2.4 per cent, the GDP may grow by 4.3 per cent, consumption may increase by somewhere between 4.5 and 5 per cent, and the planned rate of inflation will be 3 per cent which will coincide with the rate of pension increases. He also said that the minimum wage will be HUF 138 thousand in 2018, while the guaranteed wage minimum will amount to HUF 180 thousand. This means that net average earnings will increase by 8.8 per cent. The country is on the verge of a major rise in incomes, Mr Lázár said in evaluation.

He further reported that the reserve of the budget will be around HUF 200 billion. On the whole, 80 per cent of funds will be used for operations, and 20 per cent for developments. HUF 185 billion will be available for health care, HUF 82 billion for education, and HUF 55 billion for law enforcement and public security next year, the Minister added.

The Minister said: the goal is for everyone to be better off, and to enhance the security of those living off work. He said: the observance of the wage agreements, the reduction of the taxes encumbering employment, family support and the reinforcement of law enforcement are important priorities.

He also said that tax reductions will continue: the tax of small businesses and the rate of the health care contribution will decrease significantly, VAT on Internet services will decrease from 18 per cent to 5 per cent, while the VAT on fish will also be reduced to 5 per cent. The excise duty of small-scale breweries will change as well: the limit for paying 50 per cent of the levy will be 200 thousand hectolitres instead of 8 thousand.

Mr Lázár further told the press that the career models will also continue in 2018. These concern some 556 thousand people, their salaries will increase by 30-40-50 per cent on the whole which will account for an excess of HUF 906 billion on the expenditure side of the budget.

Mr Lázár to lower classification of Paks documentation

Mr Lázár announced at the press conference: following consultations with the European Commission, he will significantly lower the classification of the documentation of the enlargement of the Paks atomic power station.

The politician said: in the wake of the reclassification procedure to be initiated by him, most of the implementation agreement entered into with Russia will be made accessible to the public, in a way and to a degree which does not jeopardise the project. In his view, this is a clear answer to the accusations which claim that the Government struck a secret deal with Russia.

In justification of his decision, he referred, inter alia, to the recommendation of Attila Péterfalvi, President of the National Authority for Data Protection and Freedom of Information, and the judicial procedures currently in progress.

The Minister repeatedly spoke about the regulation of wells, stating: wells in retail use will be exempt from the obligation of reporting and authorisation up to a depth of 80 metres, and any already paid duties and expert fees will be reimbursed. There is an ongoing debate, however, regarding the authorisation of the use of wells by agricultural producers, he added.

Regarding the agenda of next week’s cabinet meeting, he mentioned the debate on the Liget project, and the development of the Hungarian National Museum and the Museum of Applied Arts.

The Minister was asked about the tramtrain project between the towns of Hódmezővásárhely and Szeged. He said: there is no personal conflict of any kind within the Government, there is merely a professional debate regarding the project with the agencies in charge of its implementation. In his words, there is a rational cause for the implementation of the project within the boundaries of reason. It must be implemented, but it makes a difference how much it will cost and from what resources it will be financed, he said. “The situation is completely different if the project is implemented from EU funds worth HUF 23 billion or from local fiscal funds worth HUF 50 billion”, he said.

He also indicated that the Government must deal with the issue of increase in costs in general as well. As he said, the Prime Minister’s Office has an interest in the acceleration of projects, the Ministry for National Economy has an interest in the growth of the economy, while the transport business expects to see railway and road projects in the largest possible numbers. In the meantime, the plans may have been completed 2 to 3 years ago, and all of a sudden, there is a stock of enormous orders which may well drive prices upwards, Mr Lázár explained, adding: the question is what is realistic and what is unrealistic.

In answer to a question concerning the grey number plates for vehicles transporting bicycles, the Minister said: an amendment cannot be ruled out because the parliamentary group of Fidesz “declared this idea as rubbish” and asked the Government to deal with the issue.

The Minister was also asked about the list of napi.hu which is a list about the 100 richest Hungarians. He said in reply: he has always questioned the authenticity of such lists, they do not feature most of the country’s richest people, and only serve to enhance the popularity of press products.

In answer to another question, he said: there will be a pay settlement for health visitors. It seems that the Ministry for National Economy, too, supports the idea that the pay rise of health visitors should be connected to that of health care workers.

He was further asked about the hoarding campaigns of parties. He said in reply: all of this should be viewed “through the spectacles” of the election campaign, there is room for far more than without a campaign. “Give as good as one gets”, he said in evaluation of the response hoardings.