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PM Orbán: Hungary has decided to stay out of the war economy, we are building a peace economy

Prime Minister Orbán launched Hungary’s 2026 political season with a wide-ranging international press conference in Budapest, laying out the government’s position on key geopolitical, economic, and domestic challenges.

Framing the year within what he described as the “era of nations,” Prime Minister Orbán declared the liberal world order over and presented Hungary as one of the few countries already adapted to the new global reality.

The prime minister identified four central issues shaping this new era: war and peace, energy sovereignty, migration, and economic development. He opened with a stark assessment of Europe's future, saying the decisive question is whether the continent moves toward continued conflict or peace.

“Hungary’s task is clear: We must stay out of war,” he said. Emphasizing neutrality, he added that Hungary would not give money to Ukraine, nor would it participate in any form of war financing. “We will not give our money to Ukraine. We won’t give a war loan either—this is a scam! Everyone knows it won’t be paid back,” Prime Minister Orbán said, firmly rejecting all military aid, including the sending of troops or weapons.

He also announced Hungary’s refusal to align with Brussels’ push for a European war economy, stating that such an approach does not serve peace or member states’ interests. “Hungary has decided to stay out of the war economy. We are building a peace economy,” he declared. In contrast to military buildup, Hungary will focus on domestic development, calling this direction the “Hungarian path.”

Energy was named as a key issue of the next decade, closely tied to national sovereignty and technological competitiveness. Prime Minister Orbán described efforts to secure Hungary’s energy independence by acquiring energy assets abroad and diversifying sources. He criticized EU sanctions targeting Russian energy imports, saying that Brussels' decisions—such as phasing out Russian oil and gas by 2027—directly threaten Hungary’s energy security and violate national competency surrounding energy mix decisions. Legal action against these measures is planned by the end of January.

Migration remains one of the most contentious fronts between Hungary and the European Union. Under the EU’s new migration pact, Hungary would be required to assess 23,000 asylum claims annually and accept 350 migrants from other member states. Prime Minister Orbán flatly rejected this: “We will not take a single migrant from anyone. We won’t build a migrant camp, we won’t change our border protection, and we will not become an immigrant country,” he stated. He reaffirmed Hungary’s stance that Brussels cannot dictate who Hungarians must live with.

Turning to economic development, the prime minister emphasized that while Europe enters a period of austerity, Hungary will continue to pursue growth. “Development needs money—and you only have money if you don’t give it away,” he said. He reaffirmed that all available financial resources would be used to benefit Hungarian families, not foreign governments or causes.

To support this, a series of major economic and social measures took effect on Jan. 1:

  • A second 50 percent increase in family tax benefits, completing the doubling initiated last
  • Full personal income tax exemption for mothers under 30 with one child and under 40 with two children.
  • An 11 percent increase in the minimum wage.
  • A corporate tax reduction program worth HUF 90 billion.
  • Introduction of a 14th month pension.
  • Continuation of the 3 percent fixed-rate housing loan program for first-time buyers.
  • Payment of a six-month bonus to police, armed forces, and national security officers in February.
  • Continued salary increases for teachers, aiming for an average salary of HUF 936,000 by year-end.
  • A 15 percent wage hike for public administration, social, and cultural sector employees.
  • Ongoing implementation of a three-year pay program for judiciary staff, including significant raises for judges and court employees.

In his closing remarks, Prime Minister Orbán stressed that Hungary’s political and economic stability is not accidental, but the result of consistent work. In contrast to the EU’s centralizing trends, he reaffirmed Hungary’s commitment to national sovereignty, peace, and family-centered development.