EU Unlocks 16.4 Billion Euros for Hungary After Rule of Law Negotiations

Brussels has announced the release of 16.4 billion euros in European Union funds for Hungary, marking a significant step after weeks of negotiations. European Commission President Ursula von der Leyen confirmed the agreement, which combines NextGenerationEU recovery funds with cohesion funds that had been frozen due to concerns over the rule of law.

During a joint press conference with Hungarian Prime Minister Péter Magyar, von der Leyen stated, "Our teams have worked hard day and night together to find common ground." She highlighted that the agreement focuses on specific projects supporting key sectors like energy, housing, transportation, and small businesses.

Magyar hailed the release of funds as an "important milestone for the Hungarian people," expressing deep gratitude and readiness for continued cooperation. The total sum includes 10 billion euros from the Recovery and Resilience Facility (NextGenerationEU), 4.2 billion euros in cohesion funds, and 2.2 billion euros related to academic freedom deficiencies. While the funds are now accessible, their actual disbursement hinges on Budapest fulfilling agreed-upon reforms by the end of August. The Hungarian government is expected to submit its revised recovery plan next week, with the Commission aiming for approval in July.