A TOP Hungarian official has suggested the government might compromise over controversial reforms to secure financial aid from the European Union and the International Monetary Fund.
The conservative government of prime minister Viktor Orban has introduced a new national constitution, which his Fidesz party says finally clears out the institutional debris of the communist era and modernises Hungary, making it more democratic and able to fight the economic crisis.
Tens of thousands of people protested against the constitution this week, however, and the United States, EU, IMF and major rights groups have all raised serious concerns about the new laws.
Among other things, they say the laws remove too many controls on Mr Orban’s power, place too many formerly independent bodies in government hands and erode media freedom.
Government minister Tamas Fellegi said Hungary needed a precautionary aid agreement with the EU and IMF “as soon as possible” to reassure markets that have driven the forint currency to record lows against the euro and sent Budapest’s borrowing costs soaring.
“We are ready for talks without preconditions, all issues can be on the table,” he said.
The EU and IMF have suspended aid talks with Hungary due to a new law that they say undermines the independence of the country’s central bank, which has often clashed with Mr Orban.
“Our concerns remain and will remain until the [European] commission has completed its legal assessment of these new laws,” said EU spokesman Olivier Bailly.
He added that EU commissioners would “decide in the coming days or weeks when or if there is an infringement and, of course, the commission will act in order to make sure that the Hungarian law is in line with EU treaties”.
EU commissioner Neelie Kroes also urged Hungary to consider issuing more licences to radio broadcasters, after its main opposition-minded radio station had its licence revoked. Klubradio, one of the few Hungarian media outlets that regularly airs criticism of Mr Orban, is expected to shut down.