Minister Nagy said the 2026 budget aimed to mitigate the negative effects of the war in Ukraine and focused on support for families raising children, young Hungarians and pensioners.
The National Economy Ministry said the budget draft, "built on peace", contains Europe's largest tax reduction program and prioritises support for families and pensioners, while calculating with significant pay rises.
Minister Nagy said putting the budget balance in the black, excluding debt servicing costs, was of "key importance".
Wage increases, support for affordable housing, tax allowances and support for families are all part of the 2025 budget.
Minister Varga said the three "pillars" of the 2025 budget were boosting Hungarians' purchasing power, ensuring affordable housing and scaling up SMEs with the Demjan Sandor Programme.
The finance ministry affirmed the government’s commitment to improving balance indicators and said the 4.5% GDP deficit target for the year was achievable.
The finance ministry noted that expenditures related to the regulated utility price scheme for households came to 969.2 billion forints by the end of June.
The Hungarian government is keeping to its practice of submitting the budget bill during parliament’s spring session.
The finance minister said Hungary's financing needs can be met next year and the budget is on a stable footing.
The draft budget calculates with a GDP of HUF 68,000 billion (EUR 175.4bn) and has a headline number of around HUF 26,000 billion.
Gergely Gulyás has announced that the amended budget for this year and the 2022 budget would focus on relaunching the economy.
Although the economic fallout due to the coronavirus epidemic was not as serious as that in the rest of the EU, Hungary’s economy shrank by 13.6 percent in the second quarter of 2020.
According to the finance minister, the 2021 budget is all about securing support for families, respecting pensioners and preserving and creating jobs. And it’s set to do all of this, and more, despite the epidemiological crisis.