March 11, 2022 Friday 10:23
| Hungarian nation
The left continues twice. Prime Minister-designate Peter Markey G. presented their programme, in which they promised to maintain and expand all popular actions. Liberal Internet portals have made clear the promise of commitments. At the same time, politicians in the coalition are talking about the fact that the Hungarian economy is in ruins, the country has no government, the forint is collapsing and poverty is rampant. This is a great contradiction to oneself.
History is repeating itself because the same thing happened in 2002. At the time, Peter Medgyessy was a candidate for prime minister of MSZP-SZDSZ, who said something similar to what Peter Markezae said now. So what worked will stay and become better. He promised, among other things, to maintain the popular housing subsidy system.
This was not true because their items were constantly being demolished and eventually eliminated. This was the beginning of an era of foreign currency lending failures, which ended with the Orban government’s credit rating.
Hungary’s debt rating is moving towards a loose category; Amidst the political uncertainty, the S&P rating downgrade is just oil smoldering in the economic crisis,” Forbes wrote in March 2009. The article highlighted: “Hungary, which has accumulated a large amount of external debt in terms of companies and households, appears to be the One of the weakest economies in Eastern Europe. The country received $25 billion in credit from the International Monetary Fund, the World Bank and the European Union last year, but confidence was damaged again last week after the resignation of Prime Minister Ferenc Gyurcsany.
This period was followed by Gordon Bagnay’s restrictions. It belongs to the man who served the fallen Gyurcsany government in several positions. The International Monetary Fund, the World Bank, and the European Union have kept Hungary on the verge of survival.
Under these circumstances, the Orban government took over in 2010. What happened in the past 12 years? The number of employees increased by one million and the tax burden on the business decreased. The zero-rated housing construction subsidy system has been rebuilt to an unprecedented extent. Hungary got rid of the union measure, that is, the budget deficit in peacetime did not exceed the level expected by the union. The external exposure of government debt has changed for the better. A quarter of it is now in the hands of the Hungarian people, in 2010 that was only three percent. Hungarian economic growth has been at the forefront of the European Union.
While Hungary’s investment rate as a share of GDP is above 27 percent, the European Union averages about 22 percent and the average in the Visegrad countries is less than twenty percent. The number of employees increased by about one million. This allowed for a tax cut, lowering the social contribution from 27 percent to 13 percent.
A week or two before the April elections, the country’s economic situation can be declared fine. Growth is strong, and public finances are declining again. After all, it can be said that there will be no need for austerity after April. By comparison, the left is preparing to cancel the overhead cut.
This is just one element where the recently strengthened middle class will bleed. Those who live on wages and salaries will be the first to pay for a change of government.
Photo: Arpad Koroc
