Hungarian News

A Vote for 729 Forint?

• January 21, 2022
• István
• 11 Comments

The infamous regulated price for chicken carcasses and a few other food items saves the average citizen 243 Forint (0.68 €) monthly Policy Agenda calculated ►HU. The decree is valid for 3 months, until the election month. I am afraid the administration costs for the groceries will be way higher than the loss of profit. Just this morning in his Friday prayer Orbán declared that these 243 Ft would stop the inflation ►HU on food prices. This is also a good moment to have a look on the regimes permanently repeated declaration that Hungarians have “such a good life” thanks to Orbán.

The most recent data concerning consumption per capita and price level in the EU have been published. An average Hungarian had 6 680 € nets in 2020. Only Bulgarians have less, 5 150 €. Romania took over Hungary! Both in absolute numbers and in purchase power! Everybody who had told me that would happen before Orbán took office I would have said that Romania wouldn’t get to that point during this century. Orbán made that possible as well! Yes, costs of life are cheaper in Hungary than European average. However, this doesn’t make a change at the end of the list. Bulgaria behind Hungary, the rest scored better. We are at 44.41 % of EU average in absolute terms, in purchase power 70.11 % (Bulgaria 63.61 %). In both categories Luxembourg scores best with 28 970 € or 192.92 % in absolute terms or 148.94 % in purchase power of EU average hvg reported ►HU. Besides the fact that these numbers alone are already devastating only 0.03 % is added to our income by the chicken carcasses decree. This is what Orbán calls stopping inflation! This hvg article shows clearly that the situation emerged a lot during the corona crisis – and the financial handling of it. And these are the number that turned bad just after the purchase power the Hungarian earnings were back on the level of 2008, the level before in the USA the banking crisis started. While all countries around including Romania and Bulgaria (which reduces the distance to Hungary every year) are in better shape now, than in 2008, while Hungary is under the level of the “socialist” times and Orbán tells the world that life in Hungary would be so good ►HU.

Further there is much more unemployment in Hungary than the regime tells us. According to official announcements of the ministry of human resources there are only 180 000 without work, while nearly 300 000 are unemployed regarding the way the International Labour Organisation (ILO) defined, the KSH informed. The best rates have the centre and Northwest of the country, high unemployment rates are found in the South and East with Csongrád-Csanád as positive exception, the worst in the North with 11.4 % in Nógrád, while Budapest has only 2.4 % and best is Veszprém with 1.4 % informs portfolio ►HU. As many as 40.3 % of unemployed don’t get any financial benefits, the number of long time unemployed persons, this means longer than one year, is with 16.8 % more hard growing, and finding work lasts in average 490 days or 16 months ►HU!

This while housing has been become unbelievable expensive. During the first years of Orbán’s rule prices went down, but have stabilised during the years 2013 and 2014. Since 2015 real estate prices have more than doubled, while in the EU prices went up 39 % in Hungary the prices went up with 104 %. More than in every other EU country. Since only a few Hungarians rent their home the “only” 20 % rent increase (against 9 % in the EU), doesn’t help a lot, a rate which is again the highest in the entire EU ►HU. No wonder that only last year the mortgages went up with 40 % as 444 reported ►HU.

Yes, some may believe Orbán that cheaper chicken carcasses will make their life easier. Right now both are promises, the cheaper prices and the relief for the people. When it becomes reality on February 1st these people might be surprised that their shopping won’t be cheaper, that monthly 243 Forint can’t be felt during daily shopping. We will see, whether this won’t backfire, as soon as the people again will be confronted with the reality. I still remember how much the people were annoyed about the propaganda in 2019 that their wages went up so much, while these higher wages were in fact hard needed to pay higher taxes and the same amount of food.

And this is the point I want to quote an interview with Péter Márki-Zay about remarkable changes which would happen with him as PM ►HU: “I consider the introduction of the Euro, the fact that Hungary wants to belong to the core of Europe and not to the periphery of a two-speed Europe. The Euro is also an important issue in terms of the fight against inflation, wage catching up, the resilience of pensions, and a value choice as well. Hungary has to decide whether it wants to belong to a developing, progressive core Europe, or to a periphery created by Orbán and the Poles, where the standard of living is increasingly lagging behind that of the core countries. Where the EU can tolerate the lack of press freedom, the corruption, and which can function as a great assembly plant, as Viktor Orbán dreamed about. [….] Further accountability is important, so that we are no longer a country without consequences. [….] A message must be sent to all politicians that we expect the country getting rich and not them filling their own pockets. We want to create our own anti-corruption prosecutor’s office, overseen by Ákos Hadházy as minister without a portfolio.” All these things would tribute to a solution of the problems that can’t be solved with 729 Ft spread over 3 months.