"Hungary's Parliament may be able to pass the 2010 Budget as early as November, weeks before schedule and the government will not loosen purse strings ahead of next year's elections, Prime Minister Gordon Bajnai said.The cabinet will make efforts to accelerate the budget-making process, because “it is the interest of the country to have an approved budget for next year as soon as possible," Bajnai told public television MTV late on Thursday.
The PM said the most painful steps have already been taken, but further savings measures are to be included in next year's budget.
“[...] we have already taken most of the most painful measures that directly and personally affected Hungarians. We had to act very quickly in order to send a clear message: Hungary is well-aware of the crisis and will act accordingly. But the budget will still not be fun and laughter. We have to take a great number of savings measures that would affect local and national local government spending and operations or transport such as (state railway company) MÁV or (coach company) Volán," Bajnai said.
“We do have difficulties ahead of us," the PM acknowledged. He noted, though that the measures to be taken will not be as painful as the ones already in effect or decided on.
He said the 2010 Budget could be cleared by MPs in November, while Parliament usually passes is in mid-December.
“If we stretch ourselves very much and everybody is a partner in everything (in the process) it (the budget) could be ready by November.
“There will be no election budget," Bajnai added, referring to the recurring pre-election opening of purse strings that contributed to repeated budget deficit overshoots.
To a question whether he would support early elections Bajnai said that as long as the cabinet is able to take substantive crisis management measures it is clearly a better choice than a drawn out period of empty promises, campaigning and a lame duck portraying as the government.
Several Socialist MPs have already signalled that the idea of early elections is not from the devil, saying the party should announce to step aside either at the Socialist Party (MSZP) Congress next Monday or after the passing of the 2010 Budget at the latest.
To a question whether the Socialists will flee into early elections Bajnai said: “I do not know what you're referring to. I have not heard about early elections from Socialist politicians lately."
Earlier this month the Socialists suffered a crushing defeat to the main centre-right opposition party Fidesz at European Parliament elections, obtaining only 4 of the 22 EP seats available, while far-right Jobbik snatched three.
Bajnai confirmed he would remain in office as long as he is supported by the Socialists and the Free Democrats, even if the MSZP Congress elects new party leaders next month."
Source: Portfolio Online Financial Journal
29.06.2009