Hungary Investigates Controversial €1 Billion Loan Under Previous Government

Hungary is investigating a €1 billion loan facilitated by Eximbank to North Macedonia under beneficial terms by the previous government. Prime Minister Peter Magyar has launched this probe alleging corruption involving former Prime Minister Viktor Orban. The investigation seeks to determine if funds intended for Hungarian businesses supported a foreign political ally instead.

Hungary's government, under the leadership of Prime Minister Peter Magyar, has launched a thorough investigation into a controversial €1 billion loan provided to North Macedonia by state-owned Eximbank. The loan, extended under favorable terms by the previous government, is part of multiple transactions involving Eximbank now coming under scrutiny.

Magyar, who assumed power after defeating nationalist former Prime Minister Viktor Orban, has prioritized tackling corruption, which he claims was endemic under the preceding administration. The loan to North Macedonia, at a 3.25% interest rate secured by a 100% state guarantee, raises concerns about misuse of funds intended for domestic businesses to fortify international political ties.

The investigation is the latest in a series of moves by Magyar's government to address alleged corruption. A bill has been presented to establish an anti-corruption office, coinciding with Hungary's decision to join the European Public Prosecutor's Office. Meanwhile, Eximbank has not commented on the investigation.