Budapest is facing consequences for refusing to pay the €200 million fine imposed by the European Court of Justice (ECJ) over Hungary’s restrictions on the right to asylum. The European Commission has initiated a procedure to deduct the fine from Hungary’s allocated share of the EU budget after the country missed the payment deadlines. This move will affect around €21 billion of cohesion and recovery funds earmarked for Hungary. Hungary is also facing a daily fine of €1 million for continuing to disregard the ECJ ruling. Prime Minister Viktor Orbán has criticized the fine as “outrageous” and has argued for compensation for defending the borders since 2015.
Orbán’s anti-EU rhetoric has escalated following the ECJ ruling, leading to threats to bus migrants to Belgium as retaliation. This has sparked criticism from Belgian and EU authorities. The tension between Budapest and Brussels has been further exacerbated by Hungary’s decision to extend its National Card scheme to Russian and Belarusian citizens, which the Commission warns could pose a threat to the Schengen Area. Despite Hungary denying any risks to internal security, concerns remain over potential sanctions circumvention through the scheme.
There was a slight glimmer of hope for a resolution this week as Hungary’s minister for European affairs met with the European Commissioner for Home Affairs to discuss the ECJ ruling and the National Card scheme. However, the Commission did not provide immediate details about the meeting, leaving the situation between Budapest and Brussels uncertain. The ongoing dispute between Hungary and the EU continues to unfold, with the threat of fines and potential repercussions looming over Budapest. Orbán’s refusal to comply with the ECJ ruling and his defiance against the EU’s actions are creating a deepening divide between Hungary and the European Union.
