Hungary Targets Euro Adoption by 2030 Amid Budget Deficit Concerns

Hungary's government has set its sights on adopting the Euro as its currency by 2030, aiming to meet the fiscal criteria for doing so. To achieve this goal, reducing the country's budget deficit is a crucial step, according to the amended preamble to the 2026 budget submitted to lawmakers.

The revised budget projects a general government deficit of HUF 7.110 trillion, with total expenditures of HUF 49.026 trillion and revenues of HUF 41.916 trillion. The deficit is now expected to reach 7.5% of GDP in 2026, higher than the original target of 3.7%. However, the government claims that without changes introduced after the change in government, the deficit would have been even higher.

The amended preamble criticizes the previous Fidesz-KDNP government for 'sacrificing fiscal measures on the altar of political campaigning,' leaving the original 2026 budget 'completely detached from reality.' The government expects Hungary's state debt to rise to 77.5% of GDP by the end of 2026, compared to 74.6% in 2025.