On Wednesday, the European Commission proposed to the Council the lifting of the protective measures imposed on Hungary in 2022 under the Conditionality Regulation, concluding that the country had addressed rule-of-law breaches affecting the European Union budget.
The development follows Hungary's change of course and the political change brought about by Viktor Orbán's defeat after 16 years in government.
If approved by the Council, the proposal will release €4.2 billion in suspended cohesion policy commitments. It will also restore access to the Erasmus+ and Horizon Europe programmes for students and researchers at universities maintained by Hungarian public-interest trusts.
Commission President Ursula von der Leyen said that Hungary had taken significant steps to strengthen the rule of law and protect the Union's financial interests. "Today we propose the release of €4.2 billion," she said.
The Commission assessed the remedial measures notified by Hungary on 9 September 2026 and concluded that shortcomings had been addressed in areas including public procurement, the anti-corruption framework, conflicts of interest and the effectiveness of prosecutorial action.
Budapest strengthened the powers of the Integrity Authority, introduced an asset declaration system, expanded judicial review of decisions by prosecutorial authorities and reinforced checks on EU funding, pending the abolition of the public-interest trusts.
The Council has one month from the Commission's proposal to decide on the lifting of the measures.
In December 2022, the Council had suspended 55% of the commitments under three Cohesion Policy programmes for the 2021-2027 period, while also prohibiting the undertaking of new legal commitments with the public-interest trusts. The decision was taken because of breaches involving public procurement, prosecutorial action, conflicts of interest and the fight against corruption.
Source: CNA
