1. Hungary risks losing EU funds,
ministers say
BY: Valentina Pop
24.01.12 @ 19:34
Abigail Wee
AB INTS-II

2. WHO: EU Finance Ministers
WHAT: Warned Hungary that it may lose EU funds if it fails
to fix its excessive deficit, a problem since 2004.
WHEN: Tuesday (24 January)
WHERE: Brussels

3. • "Hungary cannot face sanctions under the
excessive deficit procedure as it is not a member
of the euro area. But for beneficiaries of the EU's
cohesion fund, such as Hungary, failure to
comply with the Council's recommendations can
lead to the suspension of cohesion fund
commitments," the ministers said in their
conclusions on Tuesday.

4. EU economics commissioner – Olli Rehn

5. Economics Minister - György Matolcsy

6. On the label – "Central Bank".
Prime Minister Viktor Orbán has
passed a law reforming the status of
the Hungarian Central Bank, and
limiting its independence.

7. Implications to EU
• Apathetic Hungary
• Political criticism in EU institutions including
the European Parliament of Orban’s
administration.

8. SOURCES
• http://euobserver.com/19/115003
• http://www.presseurop.eu/en/content/cartoon/1375231-ogre-budapest
• http://www.theepochtimes.com/n2/world/all-eu-nations-on-debt-crisis-
watch-list-except-one-37542.html
• http://www.economist.com/blogs/easternapproaches/2011/12/hungary-
and-imf