Ministry of National Economy of Hungary

12/05/2019 | Press release | Distributed by Public on 12/06/2019 02:39

Hungary is calling for effective EU action against money laundering and terrorism

'Unified and effective action against money laundering and terrorism is in the common interests of every member state of the European Union, but Hungary remains against the unwarranted removal of spheres of competence from national authorities', Minister of Finance Mihály Varga emphasised at today's meeting of the EU's Economic and Financial Affairs Council (ECOFIN).

According to Mr. Varga, before the establishment of another EU institution we must clarify its role, and whether it would mean a real solution to improving the security of European citizens.

The priority topic of today's council session was Europe's strategy for taking action against money laundering and the financing of terrorism, the Minister told the press, explaining that Hungary is concerned with relation to the transference of supervisory functions to EU-level institutions. The supervisory body would keep watch over adherence to common regulations, but according to the Hungarian position national authorities with detailed, up-to-date information can handle the challenges facing the European Union more effectively.

Mr. Varga said that the Hungarian government does not agree with the statements included in the Economic and Financial Affairs Council's resolution, according to which Hungary has not introduced suitable measures to ensure the fulfilment of budgetary requirements within its significant deviation procedure. 'Hungary is currently the European Union's most rapidly developing economy, and thanks to the government's measures not only have public finances become balanced, but in addition to falling sovereign debt employment is continuously increasing, and wages and salaries are also on the rise', he said.

Presenting the Hungarian position, the Minister also drew attention to methodological differences, and highlighted that in addition to affecting macroeconomic and budgetary processes the corrections dictated by the EU would unnecessarily curb the performance of the Hungarian economy.

The EU finance ministers also discussed the proposal on the reorganisation of the institutional system of international development financing for developing countries. With relation to Hungary's position, Mr. Varga explained: 'The financing of development projects must be increased in countries that are the sources of mass migration, and solutions to the root causes must be found on site via investment projects, the creation of workplaces and the development of infrastructure'.