The Hungarian Parliament adopted the act ratifying the Treaty on Stability, Coordination and Governance in the Economic and Monetary Union on Monday. The Government proposal was also supported by the MPs of the left-wing opposition: the Democratic Coalition and the Socialist Party. Representatives of Jobbik voted against the motion, wile some independent MPs abstained.

Hungary has supported efforts to strengthen the eurozone from the outset. The future of the euro area fundamentally determines Hungary’s economic outlook, therefore having a stable and prosperous eurozone is of utmost importance for Hungary.

The Government of Hungary had been an active participant in the talks preparing the Fiscal Compact, and has successfully promoted the principles it held important. The provisions of the Compact will only fully apply to Hungary once it enters the eurozone. Furthermore, the treaty does not provide for additional obligations within the area of tax harmonisation – another important goal for Hungary.

The ratification of the treaty does, however, offer important opportunities for Hungary to participate in discussions at eurozone summits on competitiveness, the functioning of the euro area and the implementation of the Fiscal Compact.

(Ministry of Foreign Affairs)