The news of József Szájer’s fall concerned the Hungarian ruling party throughout Europe; the government, using its emergency services, banned local governments from raising taxes; The average Hungarian lived with 134,000 a month before the crisis. Forints. This is the hvg.hu weekly economic summary.

When József Szájer resigned his MEP last Sunday, citing mental strain, many of us wondered what the reason might be, but that he had to flee the party in violation of the ban on gathering with a backpack, which police said was a drug . they guessed.

It has been questioned whether its collapse is deliberate pressure on the Hungarian government, but there are too many question marks to give a meaningful answer. All this may even accelerate Fidesz’s withdrawal from the European People’s Party, and the assumptions that Fidesz will leave the People’s Party there have not been confirmed and will not wait for a vote.

The European Court of Justice should dismiss Hungary’s complaint against the European Parliament, advocate general Michal Bobek proposes to the panel. The essence of the lawsuit is that the government disputes the fact that the Sargentini report was in fact passed by a two-thirds majority and, on that basis, does not consider it justified that proceedings could have been brought against Hungary for serious violations of the rule of law.

In any event, the Hungarian government has started and is currently fighting a series of important legal battles before the European Court of Justice. But, as we have shown, they are all political, and in all of them, without exception, the government has failed or lost.

One of the biggest surprises of the week in EU matters was Deputy Prime Minister Jarosław Gowin, who spoke on Thursday about resigning from blocking the EU budget under certain conditions. However, no government decision has yet been made on this matter, and Gowin, as the leader of one of the smaller coalition parties, opposed the veto from the outset, so the issue of the veto can be resolved about Poland’s political balance in the country.

We have a terrible week looking at the coronavirus outbreak situation. There have never been as many deaths as there are now and the number of active cases is increasing. The government is promising more epidemiological announcements next Monday.

In the meantime, only one decision is known: using an emergency mandate, the government has forbidden municipalities that are on the verge of finances from raising taxes or introducing new taxes. György Gémesi, president of the Association of Hungarian Local Governments, replied to our question that about 2,500 local governments were affected and it should come as no surprise that the government did not consult local government associations before making a decision. Although Lajos Kósa said the government does not support the abolition of the business tax as corporate revenues will decline in times of crisis, this will not solve all cities’ problems.

In any case, András Tállai said the government will protect people from raising taxes in local governments, but the secretary of state also added that it was incomprehensible why they wanted to raise taxes at all. Mayor Péter Niedermüller of Erzsébetváros has gone the farthest among critics: he claims that the decree is unconstitutional, so he will implement tax increases that have already been determined by the district and are pending a decision by the Court and the Constitutional Court.

Photo of the week: construction on the Orbán estate in Hatvanpuszta.

Compared to the previous year, the results of the Hungarian economy decreased in the third quarter of this year. 4.6 percent – reported the Central Statistical Office. Our economy rebounded well before the second wave of the epidemic arrived, an increase of 11.4 percent over the second quarter. Detailed data show that after the spring shock, work in factories was resumed, but transport and storage decreased, and the lack of foreign tourists is felt not only in tourism, but also in trade.

The CSO also reported this week that the turnover of Hungarian stores is falling, a decline by 1.9%. It was worse than the most pessimistic expectations. Apparently, in October people only took food, drink and medicine, everything else almost only when they finally had to. However, the situation in the industry can inspire confidence. In October, it not only returned to the pre-crisis level, but exceeded it, which is an increase of 2.7% compared to the previous year. According to the first data, there has been an increase in the production of cars and computers, electronics and optical products, which may help the entire Hungarian economy.

While rumors were circulating that the governments of Portugal and Spain wanted to seize the opportunities of Hungarian agricultural business in Angola, there was no serious agricultural business there, according to our sources. We know there were actually political reasons why Viktor Orbán’s departure to Angola was delayed, except for one of the southern countries, but the German lobby. It was not hard for them: the fact that Hungary practiced the draft Marrakesh declaration promising African support to Africa in 2018, the Hungarian government openly anti-immigrant could be considered xenophobic and racist.

Indeed, it was possible to conclude a contract with an Angolan electricity supplier. Ende wanted to buy transformers and other accessories from CG Hungary, but that didn’t happen. This also underlines the failure of the opening of the Hungarian government in the south, at least in Africa. On the merits, no deal has so far been concluded that can be taken seriously from an economic point of view or that would justify the success of the South opening strategy.

The average Hungarian lived in 2019. For 134 thousand. Forints per month, according to the publication Standard of living of households by the Central Statistical Office. When broken down into income tithes, we can see that the poorest households earned HUF 41,000 per month, while the richest households earned HUF 312,000 per month.

In 2019, with a decrease of 118,000 people, 1,695,000 people were at risk of poverty or social exclusion, representing 17.7% of the total population. The figures also show that the per capita income of single and childless people was higher than that of households with children. Large families still lag behind in terms of per capita income.

The trout farm in Lillafüred provides 70% of Hungarian trout production, farm manager György Hoitsy told us about the work behind it. “It’s a bit of slave labor,” he said, increasing his annual production from one and a half tons to sixty tons since he started working there in 1982.

This is because trout needs oxygen-rich, cool water, and although the temperature is largely derived from the spring water, the oxygen supply to the water must be increased in various ways.

György Hoitsy also said that drought summers are becoming more frequent, and with high average rainfall, it is falling more and more. Although for now you do not have to worry about heating the spring water, eg in hot weather, you should stop feeding, which also slows down the growth of fish – even by months.



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