Head of the Prime Minister’s Cabinet Office Antal Rogán delivered the main programme on the first day of the Tranzit political festival in Tihany. His presentation titled The Hungarian Economy’s Chances in an Age of Threats centred on the family support system and the economy’s resilience in the face of crises.
At the beginning of his lecture, Rogán outlined the stable foundations upon which the economic philosophy of a society should be based, according to a report by Mandiner. The first and strongest of these foundations is the work-based society, which the government introduced in 2010, at a time when a significant portion of the population was unemployed. Since then, however, one million more jobs have been created, and unemployment has decreased dramatically. Rogán emphasized that if this foundation were to weaken, it would signal trouble for the economy. However, as he demonstrated, there has been no change in this area despite the crises that the Hungarian and European economies are currently facing.
He stated that
employment has remained stable and jobs have been preserved
even during the most challenging times, such as the COVID-19 pandemic and the energy crisis. The minister pointed out that in 2010, employment in Hungary was below the EU average, but by 2023, it had risen to be among the highest in the EU.
Antal Rogán emphasized that the government could not have achieved these results without implementing a proper tax policy, a key component of which is the reduction of the tax burden on employers. He noted that the reduction of taxes on labour has also positively impacted earnings.
He stated that, although the government is often accused of implementing tax policies that favour the wealthy, the facts contradict this claim. Statistics indicate that it is the lowest income groups that have experienced the greatest improvement in their financial position.
The minister also noted that, although Hungary’s minimum wage is not among the highest in the EU, the guaranteed minimum wage is already positioned in the middle of that range. He emphasized that a key objective for the next two years is to raise the minimum wage to the level of the guaranteed minimum wage.
Speaking about the Hungarian family support system, which is nearly unparalleled in Europe and the Western world, Rogán stated that its primary goal is to ensure that those who raise children do not fall into poverty.
‘This is why family support has tripled compared to 2010,’
he stressed.
He added that energy sovereignty and the reduction of utility costs are also essential elements of Hungarian economic policy. Rogán emphasized that Hungarian consumers pay the least for electricity and natural gas in Europe. He noted that these measures have contributed to 1.1 million fewer people living in poverty in Hungary since 2015. However, Rogán cautioned that these achievements cannot be sustained without a sovereign economic policy. He highlighted that the EU continues to push for the abolition of the cuts in overheads tax, an increase in corporate and property taxes, the introduction of a two-rate tax system, the abolition of the 13th-month pension, and an increase in the retirement age.
Rogán also emphasized the need to adapt to the digital economy, which is why the Digital Citizenship Programme has been launched. He predicted that Hungary will be the first country to issue digital ID cards that can be used throughout the EU. The minister expressed confidence that the Hungarian economy will experience growth this year, noting that even the European Commission has acknowledged that Hungary’s growth prospects are among the best in the world despite the ongoing war.
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