HUNGARY BLOCKS EU AID PACKAGE FOR UKRAINE

On December 15, 2023, Hungary blocked a €50 billion aid package from the European Union (EU) to Ukraine. The blockade occurred at the summit of EU heads of state and government, which was held in Brussels, Belgium.

The aid package, proposed by the European Commission, was intended to help Ukraine rebuild its economy and society after the Russian invasion. The money would have been used to finance infrastructure reconstruction, social assistance and investment in the private sector.

The blockade of Hungary came as a surprise to many, as the country had been one of Ukraine's staunchest supporters in the war against Russia. However, Hungarian Prime Minister Viktor Orbán had previously expressed concern about the aid package, arguing that it was too expensive and it was unclear how it would be spent.

Orbán also expressed concern about the possibility of Ukraine joining the EU. Hungary has had a complicated relationship with Ukraine in the past, and Orbán fears that Ukraine's entry into the EU could harm Hungary's interests.

Hungary's blockade sparked a negative reaction in the EU. Leaders of the other 26 member states expressed frustration over the veto, with some suggesting Hungary should be expelled from the EU.

Ultimately, EU leaders decided to postpone the vote on the aid package until January 2024. This gave Orbán more time to negotiate with the European Commission and the other member states.

Factors that contributed to the blockade

Hungary's blocking of aid to Ukraine was the result of a combination of factors, including:

Orbán's concern about the cost of the aid package. The package was valued at 50 billion euros, a considerable amount for a country like Hungary. Orbán argued that the money could be spent more efficiently elsewhere, such as in Hungary itself.
Orbán's concern about the possibility of Ukraine joining the EU. Orbán has had a complicated relationship with Ukraine in the past, and fears that Ukraine's entry into the EU could harm Hungary's interests.
Orbán's popularity in Hungary. Orbán is a populist politician who has gained the support of a nationalist electoral base. Blocking aid to Ukraine allowed Orbán to show himself as a defender of Hungary's interests.

Implications of the blockade

Hungary's blockade had a number of implications, both for Ukraine and the EU.

For Ukraine, the blockade was a major setback. The EU aid package was crucial to helping Ukraine rebuild its economy and society after the war. Delay in approval of the package could delay Ukraine's recovery.

For the EU, the blockade was a moment of tension. The bloc was divided in its response to the blockade, with some leaders suggesting that Hungary should be expelled from the EU. The blockade also raised questions about the EU's ability to act unitedly in response to crises.

Perspectives

In January 2024, EU leaders will meet again to vote on the aid package for Ukraine. Hungary's blockade is likely to remain a topic of debate, and EU leaders may have to make concessions to Orbán to win his support.

If the aid package is approved, it will be a significant capital injection for Ukraine. However, Hungary's blockade has left a negative mark on relations between Ukraine and the EU.