Gergely Gulyás also spoke about the fact that giving preference to cars with Hungarian license plates is legally valid based on a previous precedent in Italy. Regarding Ryanair, the minister said: where there is a competitor, it is definitely worth traveling with.
After Thursday's government meeting, the Hungarian government's regular biweekly press conference took place early Friday morning.
Known: on Thursday, a decision was made to extend the price caps introduced due to the economic crisis that hit the world and the resulting inflation.
According to Viktor Orbán's announcement
- the food price freeze until October 1, 2022,
- the credit moratorium and interest rate freeze until December 31, 2022,
- the government will extend the gasoline price freeze until October 1, 2022.
With regard to food, the price cap applies to the following products:
- granulated sugar (white sugar),
- fine wheat flour BL 55,
- refined sunflower cooking oil,
- homemade pork leg (including bone-in, skin-on, filleted, chopped, sliced or minced, whether prepackaged or not, fresh, chilled, frozen),
- chicken breast, chicken leg-back, -back together or separate tail and wing tip (including bone-in, skin-on, filleted, cut, sliced or minced, whether prepackaged or not, fresh, chilled, frozen),
- cow's milk heat-treated at an ultra-high temperature, with a fat content of 2.8% by weight.
According to the decision, the price of both gasoline and diesel per liter will remain HUF 480 for cars with Hungarian license plates.
After such antecedents, Gergely Gulyás, the minister in charge of the Prime Minister's Office, and Alexandra Szentkirályi, government spokesperson, appeared before the cameras at 9:30 a.m. on Friday.
The minister began by saying that the government evaluated the war and economic situation at the government meeting: He said: unfortunately, there are few circumstances that give rise to hope, the war is dragging on, there is unprecedented inflation in America, and the euro zone is also in crisis. "The closer a country is to war, the higher the inflation, and our country also has to face this," he said.
"Hungary is doing as much as possible against inflation"
- he stated, adding: therefore, maintaining the price caps is considered justified.
Gulyás continued by saying that limiting the gas price cap to cars with Hungarian license plates is a good step, supported by the population, but it was not an undivided success in Brussels. A letter was received from Brussels to withdraw the measure, he said. In this situation, there are more arguments in favor of intervention than in favor of freeing market processes. "Competition is not harmed by this step, because carriers refuel at normal prices," argued the minister, who brought up a 2006 precedent (Italy vs. European Court) to prove that
the measure is also legally valid.
Gergely Gulyás also talked about the fact that there will be an EU summit on Friday next week. The unity of the union is important, but we only support sanctions that do not hurt Europe more than the party to be sanctioned, he said. We still need to return to the Versailles consensus, further restrictions on gas transport would have a very negative effect on the EU economy, said Gulyás. Investment incentives and tax reductions are needed, this is the only way to protect the results achieved so far.
Gulyás stated that the government does not support the introduction of the global minimum tax at the meeting of the EU finance ministers.
Regarding the EU gas embargo, he said that they still trust in common sense, that it may not only cause difficulties for some European countries, but also affects a large part of Western economies. They still do not support the gas embargo.
The minister said: a consumer protection investigation has been launched against Ryanair. The transfer of extra profit must be investigated in every case and action must be taken against it. According to Gergely Gulyás, it is unusual for Ryanair to allow itself a pub style, and he recommends to Hungarian travelers that wherever there is a competitor, it is definitely worth traveling with. In response to a question, he stated:
recommends that everyone contact consumer protection even if they pay the extra cost.
Then came the journalist's questions. There will be no downsizing at the government offices - Gulyás denied the information of a left-wing newspaper, and he also called the information that layoffs would hit the humanities sector a hoax.
In response to Gulyás' question, he said that it was a good idea to merge the EU and municipal elections. "It is better for everyone if the two votings are held at the same time," he added. Gulyás does not understand the opposition's argument, according to him, in this case, not two campaigns, but only one, should be continued, it is cheaper to carry them through. This is a practical solution and the state even saves money with it.
The minister stated that the government still does not support the introduction of the congestion charge in response to the suggestions made by the capital's management. According to him, these and similar anti-car ideas only exacerbate Budapest's problems. I would not recommend anyone to give advice on how to lead a life - he pointed out that there were also various suggestions on how the people of Budapest should travel in the capital.
Gulyás clearly denied the press reports that there will be significant downsizing in the Government Offices.
He also denied that, in a background conversation, Interior Minister Sándor Pintér had hinted that there would be no wage increase in the humanities sector, and that workers in the sectors would be happy if wages remained at the current level. He explained: a total of 30 percent wage increase for teachers can be achieved with EU subsidies. This is also why it would be welcome if the Hungarian left would not prevent our country from getting European Union funds.
Featured image: Origo/Sándor Csudai