Hungary's PM says he will conclude political deal on EU funds with von der Leyen
Hungary's Negotiations for Release of EU Funds
Background of the Frozen EU Funds
BUDAPEST, May 29 (Reuters) - Hungarian Prime Minister Peter Magyar said on Friday he would conclude a political agreement on the release of frozen European Union funds at a meeting with European Commission President Ursula von der Leyen later in the day.
Magyar arrived in Brussels on Thursday to negotiate the release of EU funds that were frozen under the previous government led by Viktor Orban due to concerns over the rule-of-law and guarantees against corruption.
Details of the Planned Agreement
"At 1 p.m. (1100 GMT) I will hold talks with the President of the European Commission, and we will conclude the political agreement on the EU funding of thousands of billions of forints due to our country," Magyar wrote in a Facebook post.
Hungary's Request to Join the European Public Prosecutor's Office
In a later post Magyar said that at the meeting he would present the Commission's president with Hungary's official request to join the European Public Prosecutor's Office.
Progress and Remaining Issues
On Thursday, Magyar said a deal on EU funds was "very close" as there was agreement with Brussels on many issues, although some questions remained over the fight against corruption.
Economic Impact of the EU Funds
Urgency and Deadlines
Hungary's new government is under pressure to unlock the country's share of the EU recovery fund money before an August 31 deadline: €6.5 billion in grants and €3.9 billion in cheap loans.
Additional Frozen Funds
Some €7 billion in EU structural funds are also frozen, but the country has several years to access this cash.
Importance for Hungary's Economy
The release of EU funds is vital for the Hungarian economy, which has been virtually stagnant for three years and also for the severely stretched Hungarian state budget.
Reporting Credits
(Reporting by Anita Komuves; Editing by Helen Popper and Hugh Lawson)
