An IMGW News Report
Brussels is set to withhold €200 million from Hungary’s EU funds due to the country’s refusal to pay a fine imposed by the European Court of Justice (ECJ) over its restrictive asylum policies. This decision follows Budapest’s failure to meet a payment deadline in August, leading the European Commission to issue a second request, which was ignored as well. As a result, the Commission has initiated an “offsetting procedure” to deduct the fine from Hungary’s future EU budget allocations.
The Commission is examining various financial resources that Hungary is scheduled to receive, which includes approximately €21 billion in cohesion and recovery funds that are currently frozen due to Hungary’s decline in rule-of-law standards. A Commission spokesperson confirmed that the process is underway, though identifying the specific payments eligible for offsetting may take some time.
Additionally, Hungary faces a daily fine of €1 million for each day it continues to defy the ECJ ruling, which the court described as a serious violation of EU law. Hungary has yet to provide satisfactory explanations about measures taken to comply with the judgment, resulting in a payment request of €93 million with a 45-day deadline.
Prime Minister Viktor Orbán has been vocally opposed to accepting migrants, with Hungary’s government proposing to send asylum seekers to Brussels if an EU court ruling compels Budapest to adopt a “no-detention” refugee policy. This plan, announced by Orbán’s chief minister Gergely Gulyás, suggests offering migrants at Hungary’s border a one-way, voluntary trip to Brussels upon completing their asylum process. This strategy aims to shift responsibility to the EU, underscoring Hungary’s resistance to the ECJ’s rulings on migrant treatment.
Orbán has responded to the situation with strong anti-EU rhetoric, labeling the fine as “outrageous” and arguing that Hungary should receive €2 billion for its border protection efforts. His government’s approach appears inspired by U.S. Republican policies, such as Florida Governor Ron DeSantis’s migrant relocation efforts, and comes on the heels of the €200 million fine for breaching EU asylum laws.
He has also threatened to send migrants to Belgium “voluntarily,” drawing criticism from EU officials. The ongoing tension is further complicated by Hungary’s decision to extend its National Card scheme to Russian and Belarusian citizens, raising concerns over potential sanctions evasion and security threats within the Schengen Area. Despite these issues, a recent meeting between Hungarian and EU officials hinted at possible dialogue regarding the ECJ ruling and the National Card.
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