Hungary continues to struggle with the highest inflation rate in the European Union, prompting Prime Minister Viktor Orban to call for decisive action. In his weekly radio interview on Friday, Orban criticized what he called "empty talk" about inflation and urged concrete measures to address soaring consumer prices.
Orban Questions Price Increases
As reported by Digi24, Orban expressed frustration over retail price hikes, particularly in the food sector. He questioned why the price of milk more than doubles from farm to store shelves, calling for transparency in pricing.
"We need to cut the hocus-pocus," he said. "Instead of talking about inflation endlessly, we should ask who is raising prices and why. Where is the money going? And what can be done to help retailers, producers, and processors lower costs?"
He instructed Hungary’s Minister of National Economy to meet with retailers and demand explanations for continued price increases, despite the relative stabilization of global markets.
Potential Government Intervention
Orban warned that if businesses fail to moderate price hikes, the government may step in. "We are asking for restraint, but if that doesn’t work, the Minister of Economy will prepare an action plan to force those raising prices to stop," he stated.
The prime minister also highlighted the impact of inflation on pensioners, acknowledging that pensions do not rise as quickly as wages. To address this, the government plans to introduce a reduced VAT scheme for essential food products, which will be implemented in the second half of the year.
With Hungary’s inflation crisis continuing, Orban’s government faces mounting pressure to deliver tangible economic relief while balancing market stability.
