An excessive deficit procedure will be launched against Hungary in the near future, atv.hu learned from the Ministry of Finance. "Based on the European Commission's decision, an excessive deficit procedure will be launched against seven countries, so Hungary is not the only one affected," the ministry, headed by Mihály Varga, confirmed to atv.hu.
The ministry added that in this case member states are not required to respond to the procedure with immediate measures, the budget deficit should be reduced gradually.
The finance ministry's press department told atv.hu that the deficit is expected to reach 4.5 percent in 2024, and will be reduced to 3.7 percent next year and below 3 percent in 2026.
The European Commission announced in mid-June that it might launch an excessive deficit procedure against several countries in order to avoid countries ending up in a situation similar to the one in the economic crisis that started in 2008. For more details about exactly what this procedure means and why it is being launched against Hungary, see our previous article.
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