Hungary reviews Belgrade-Budapest rail deal amid corruption fears, seeks declassification

Hungary's new government is undertaking a review of its contractual agreements for the Belgrade-Budapest high-speed rail project, citing suspicions of corruption. The administration is requesting its Chinese partners to declassify all documentation related to the project. This move signals a shift towards greater transparency concerning a major infrastructure initiative that has faced scrutiny.

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What we know now is that the contract between the Hungarian state and Chinese companies, as well as agreements with the Chinese state, are marked as confidential. So, we actually don't know under what conditions the Hungarian government received the loan that financed the construction of the Budapest-Belgrade railway. We also don't know exactly which companies worked on the project, because everything is under a secrecy mark.

Investigative journalist Vilmos Vayler told N1 that significant questions persist regarding the project's financing and its economic advantages for Hungary. "What we know now is that the contract between the Hungarian state and Chinese companies, as well as agreements with the Chinese state, are marked as confidential," Vayler explained. "So, we actually don't know under what conditions the Hungarian government received the loan that financed the construction of the Budapest-Belgrade railway. We also don't know exactly which companies worked on the project, because everything is under a secrecy mark."

Vayler indicated that declassification hinges on Chinese approval, a process that introduces uncertainty. "I think we will find out when and if the documents are released. However, there is another condition – the Hungarian side can only remove the secrecy mark from these documents with the consent of the Chinese side. I think we will have to wait for their approval." He added that while some details from the Serbian part of the project have previously surfaced or been declassified, Hungary's portion remains significantly more opaque.

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The Hungarian side can only remove the secrecy mark from these documents with the consent of the Chinese side. I think we will have to wait for their approval.

Experts in Hungary largely agree that the project was driven by geopolitical interests rather than clear economic benefits for Hungary. "We don't have factories along this railway line, nor does Hungary export large quantities of goods to Serbia. So, we don't see a clear benefit for Hungary," Vayler stated. He suggested that the previous Orbán government pursued the project to foster strong relations with China, which resulted in numerous Chinese companies operating in Hungary over the past decade. The full extent of Hungary's gains from the project, however, remains unclear.

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We don't have factories along this railway line, nor does Hungary export large quantities of goods to Serbia. So, we don't see a clear benefit for Hungary.