The European Commission has taken a significant step towards improving its relationship with Hungary by proposing to release €4.2 billion in previously frozen cohesion funds. This proposal also includes the restoration of Hungary’s full access to the Erasmus+ and Horizon Europe programmes, vital for Hungarian students and researchers. These actions come after Hungary implemented several reforms addressing the European Union’s rule-of-law concerns, which have impacted the EU budget.
Among the reforms highlighted by the Commission are changes in public procurement processes, enhanced anti-corruption measures, better management of conflicts of interest, and improvements in the effectiveness of prosecutorial actions. These steps were deemed necessary to ensure that EU funds are used appropriately and efficiently within Hungary.
However, the proposal to unfreeze the funds is not yet final. It requires approval from the Council of the European Union, which has a month to make a decision. Until the Council grants approval, the funding restrictions imposed on Hungary in 2022 will remain in place.
It is important to note that the €4.2 billion represents only a portion of the EU funds currently restricted for Hungary. Other cohesion funds remain blocked under separate conditions, and the assessment of Hungary’s access to recovery funds is still ongoing through a different process.