Finnish Prime Minister Petteri Orpo described the debate on support for Ukraine at the EU summit tomorrow and Friday as historically important.
The European Commission made an important announcement on Wednesday – just a day before the two-day summit. The Commission has decided to release a third, or 10.2 billion euros, of the frozen EU subsidies from Hungary.
The Commission writes in the press release that Hungary has made the necessary reforms related to the independence of the judiciary, and they enable the release of subsidies.
It is thus possible for Hungary to apply for compensation of up to EUR 10.2 billion from the EU’s cohesion funds. The purpose of cohesion funds is to equalize the differences in living standards between EU countries.
Hungary is currently one of the biggest net beneficiaries of the EU.
Is the decision enough to persuade Hungary?
The decision on the partial release of the frozen funds was expected. Even after this, 21 billion euros have been frozen from Hungary.
The sum includes, among other things, money earmarked for Hungary from the EU recovery fund, as well as funds frozen under the so-called rule of law mechanism. The Commission notes that the conditions for the release of other subsidies are not met for the time being.
Hungary has been suspected of connecting its own financial worries to significant EU decisions related to Ukraine. Hungary has questioned both the increase in economic aid to Ukraine and the start of EU membership negotiations with Ukraine.
Prime minister Viktor Orbán the adviser said yesterday In an interview with Bloombergthat Hungary can accept an increase in economic aid to Ukraine if the EU releases all frozen subsidies from Hungary.
The EU Parliament criticized the release of subsidies
MEP who negotiated EU funding for Ukraine Petri Sarvamaa (collective) questions the Commission’s decision. According to him, Hungary meets the EU’s requirements regarding the principles of the rule of law.
According to Sarvamaa, the commission should have waited for the appointments of the Hungarian National Council of Judges before making a positive decision. According to the EU, strengthening the position of the Council of Judges is a prerequisite for the release of frozen funds.
– The practical effects of the Judicial Council on improving the state of the rule of law are not really known yet, since the members of the Council have not even been appointed, Sarvamaa states in the press release.
Representatives of the four largest groups in Parliament today questioned the release of the funds in a letter to the Commission.
– I would not consider it an impossible idea that we would consider taking the commission to court because of this decision, Sarvamaa states.
A historically important solution
Support for Ukraine, military aid and the start of membership negotiations will be discussed at the EU leaders’ summit starting tomorrow. Hungary has a lot of influence in economic decisions that require consensus. Starting membership negotiations also requires the unanimous approval of the member countries.
Prime Minister of Finland Petteri Orpon (collective), finding a common vision would be very important for Europe.
– Now we will work as long as it takes. Europe needs these solutions, Orpo said when he arrived at the meeting place on Wednesday.
According to Orpo, you have to work determinedly to find a solution.
– This could also be a historic failure. That’s why I can’t find words for how big of a disappointment it would be if there was no decision here.