Hungary: Government reports more EU funds while corruption allegations grow

The Hungarian government has, according to its own statements, unlocked two billion euros in additional EU funds. Prime Minister Viktor Orbán stated that negotiations continued until the final hour, but all available funds were brought to Hungary. The head of government promised that every euro would flow into the country.

Yet while the government celebrates this success, signs of questionable business models are appearing elsewhere in the circle around Orbán's confidants. Following a tobacco reform led by János Lázár, a company received the exclusive licence to supply all Hungarian tobacco shops. This company has now paid out 11.4 billion forints in dividends again – although sales fell in 2024, it managed to keep profits stable.

Questionable business patterns among Orbán confidants

A similar pattern is evident with Lőrinc Mészáros, one of the richest oligarchs in the Orbán orbit. Mészáros and his children are withdrawing two billion forints from their business group, while at the same time revenues are declining but profits are being maintained. Such constellations – declining business activity with stable or rising profits – raise questions about business transparency.

Accusations of corruption and cronyism are not new in Hungary. International observers have criticised for years that Orbán's government awards public contracts and licences to close business associates, who then achieve disproportionate profits. Recent reports suggest that this pattern continues – while Brussels is to release billions, profits flow into private pockets.