Forint Drops as Orban Uses Ukraine Veto to Press for EU Aid

  • Orban insists on receiving all EU funds withheld from Hungary
  • Forint depreciates, Hungarian bond yields extend decline
WATCH: The EU’s €50 billion aid package for Ukraine was blocked by Hungarian PM Viktor Orban. Zoltan Simon reports from Budapest.Source: Bloomberg
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The forint weakened after Prime Minister Viktor Orban sharpened his disputes with the European Union by using his veto of an aid package for Ukraine to press for the payment of more funds withheld from Hungary.

The European Commission this week agreed to release a third of about €30 billion ($33 billion) that were frozen due to rule-of-law and graft concerns after Hungary enacted changes related to the judiciary, strengthening the courts’ independence. When EU leaders meet again early next year to consider a €50 billion package for Ukraine, Hungary will make sure it gets all of its own funds first, Orban said.