The European Commission has proposed releasing €4.2 billion in frozen cohesion funds to Hungary, following steps taken by the country to address rule-of-law issues that had previously impacted the EU budget. This proposal, which also includes restoring Hungary’s full access to the Erasmus+ and Horizon Europe programs for students and researchers, marks a significant step in the ongoing negotiations between Hungary and the European Union.
The European Commission acknowledged that Hungary has implemented reforms targeting key areas of concern, such as public procurement processes, anti-corruption measures, conflicts of interest, and the effectiveness of prosecutorial actions. These changes have been crucial in the Commission’s decision to put forth the proposal to unfreeze part of the funds.
However, this move is not yet final. The proposal requires approval from the Council of the European Union, which has a one-month timeframe to deliberate on whether to lift the measures that were initially imposed in 2022. Until the Council provides its approval, the funding restrictions will continue to be in effect.
It’s important to note that the €4.2 billion represents only a portion of the EU funds that remain restricted for Hungary. Other cohesion funds are still blocked under separate conditions, and Hungary’s access to recovery funds is being assessed through a different process. These ongoing evaluations indicate that while progress has been made, further steps are required for Hungary to regain full access to all EU funding resources.