The $1.5 million roundabout from nowhere to nowhere in Zalaegerszeg, Hungary, is a stark symbol of the 'Orbánist economy' and the complex relationship between the Hungarian government and the European Union (EU). This seemingly useless infrastructure project, funded by the EU, highlights the criticism that Prime Minister Viktor Orbán's administration has faced for its handling of EU funds and its impact on Hungary's economy and democracy.
The Roundabout's Tale
The roundabout, built with EU funds, was intended to serve a container terminal on a new railway line, providing better access to the sea for landlocked central Europe. However, years after its construction, the railway remains unbuilt, leaving the roundabout unused in a field. This scenario is not an isolated incident; it is part of a pattern of projects that critics argue are vanity projects or white elephants, funded by the EU but with little practical value.
The 'Orbánist Economy'
The term 'Orbánist economy' refers to the economic system built by Orbán's government over its 16 years in office. Critics accuse Orbán of demonizing the EU while accepting vast amounts of its funding. This strategy has allowed him to maintain electoral success, but it has also led to questions about the effectiveness and accountability of EU-funded projects in Hungary.
The EU's Role and Concerns
The EU has been a significant source of funding for Hungary, particularly for initiatives aimed at helping poorer member states catch up with their richer neighbors. However, ahead of the pivotal parliamentary election, opponents are questioning what Hungary has to show for this investment. They point to a string of unfinished or unnecessary construction projects, including the roundabout in Zalaegerszeg.
The Roundabout's Impact
The roundabout near Zalaegerszeg is a prime example of a white elephant. It is expensive to build and maintain but provides little value. Without the European funds, Orbán couldn't have established this system, according to Tibor Navracsis, the regional development minister. This raises a deeper question: how has Orbán been able to maintain his electoral success while accepting EU funds and facing allegations of corruption?
The EU's Withheld Funds
Since 2022, the European Commission has withheld funds to Hungary over concerns about its democratic backsliding and judicial independence. As of last year, around €18 billion of funds remain blocked, representing around 10% of the country's GDP. This has led to accusations from Orbán and his allies that the EU is interfering in Hungary's election. However, the Commission maintains that EU members must uphold the rule of law to receive funds.
The Future of Hungary's Economy
The issue of EU funds is playing a significant role in campaigning for Sunday's parliamentary election. The opposition Tisza party has pledged to free up the EU payouts by allaying the bloc's concerns about Hungary's democratic backsliding. However, meeting these demands and unlocking some funding before an August 31 deadline will be a stiff challenge for the party.
The Way Forward
The future of Hungary's economy and its relationship with the EU remains uncertain. The roundabout near Zalaegerszeg is a stark reminder of the challenges and complexities of EU-funded projects. As Hungary looks ahead, it must address the concerns of the EU and its citizens about the effectiveness and accountability of its economic policies and infrastructure projects.
