Hungarian PM warns of European economic collapse, doesn't expect any positive decisions from Brussels, Berlin or Paris

Hungarian Prime Minister Viktor Orban warned on February 21 that the European economy could collapse due to high energy prices. He even warned last week that the European Union (EU) could cease to exist if it continues with its current economic policies.

Telex news portal quoted the Hungarian Prime Minister : "Contrary to the agreement we reached last year in Budapest, when we said that energy prices must be lowered... I am afraid that this great common commitment of ours will not be fulfilled... Europe will continue to face high energy prices and this will kill the economy."

In January, European Commission (EC) President Ursula von der Leyen admitted that energy prices in the EU are higher than in China and the US.

Hungarian Prime Minister warns of European economic collapse and does not expect any positive decisions from Brussels, Berlin or Paris. (Source: debrecensun)

Europe has faced a severe energy crisis in recent years following the imposition of sanctions on Russian oil and gas. European benchmark gas prices rose to a two-year high last week.

After cutting off Russian energy supplies, the bloc is now reliant on more expensive liquefied natural gas (LNG) imports from countries such as the United States, sending natural gas prices to a two-year high and prompting Brussels to consider imposing a price cap.

In a regular interview with Radio Kossuth , Prime Minister Orban stated: "In Hungary, we will continue to reduce energy prices, but I see that the West cannot follow this path and Europe will continue to face high energy prices, which will slow down... and then kill the economy."

Mr Orban cited the EU's Competitiveness Declaration, which aims to reduce energy prices, and expressed concern that "our great common promise will not be fulfilled" and the bloc's economy will continue to struggle with high energy prices.

"We pay three to five times more for energy than in the US. We are keeping our utility bills low, but European leaders are not able to do this and that makes economic development goals more difficult," the Hungarian leader analyzed.

Prime Minister Orban noted that only a potential solution to the Ukraine conflict offers hope for peace and could help improve the global economic situation. "Peace could have a positive impact on the entire European economy, but I do not expect any policy decisions from Brussels, Berlin or Paris to have a positive impact on the Hungarian economy," the Hungarian leader said.

The Hungarian leader has repeatedly criticized sanctions against Russia and Western financial and military support for Ukraine. He said Hungary has always supported the lifting of sanctions, saying they are damaging the EU economy and driving up energy prices. According to him, only Russia's return to the global economy and the EU energy system will open up "great opportunities" for Hungary. Budapest has maintained cooperation with Moscow in the energy sector, securing long-term agreements on Russian gas imports.

The Hungarian prime minister warned that the EU’s productivity was lagging behind global competitors, while its share of international trade continued to shrink. Production in energy-intensive industries, crucial to the bloc’s economy, had fallen by 10% to 15%, Mr Orban said.

Some Western politicians have also acknowledged that sanctions against Russia have backfired, causing significant economic hardship in Europe. Last month, Sahra Wagenknecht, leader of Germany’s left-wing BSW party, warned that sanctions were hurting domestic business interests.

Austrian MP Axel Kassegger, representing a country that depends about 80% on Russian gas, once warned that if energy ties with Moscow were cut off, gas prices would rise sharply, leading to spiraling inflation.

Sharing the same view, former German MP Gunnar Beck commented that the economic impact of sanctions has caused more damage to the EU than to Russia.

Source: https://baoquocte.vn/thu-tuong-hungary-canh-bao-nen-kinh-te-chau-au-sup-do-khong-mong-doi-bat-ky-quyet-dinh-tich-cuc-nao-tu-brussels-berlin-hay-paris-305198.html