Most Hungarian parties have finished their preparations for the election campaign, and the political debate next year will be dominated by the quest for votes.

The smooth passage of the 2010 budget marks the beginning of the end for the Bajnai cabinet. The budget was the government’s last major hurdle.

Large inactive population, high and badly structured state redistribution, corruption, possible ethnic tensions and the emergence of the far-right are the key risk factors in Hungary.

The cancellation of the operating licenses of two commercial radio stations and granting these to new operators affiliated with MSZP and Fidesz represents gross and blatant interference in the media.

A joint statement by the Hungarian Anti-Racist Foundation and Political Capital

The decision of the Fidesz-led municipal government to unilaterally terminate a contract with French Suez Environnement, minority owner of the municipal water works in Pécs raise political risks.

The break-up of the Budapest MSZP-SZDSZ coalition will not have a tangible effect on the passage of the 2010 budget, a majority of the SZDSZ faction in Parliament is expected to support the budget.

In the coming period, the government’s success depends on the passage of the 2010 budget, fundamentally accepted by international investors, as well as adherence to key 2009 budget figures.

In light of key figures the 2010 budget is not going to fall prey to the upcoming election campaign; it is a tough austerity budget proposing to cut spending to the tune of HUF 400 billion.

Parliamentary elections to be held in the spring of 2010 carry constitutional and political risks due to an outdated election system.

A sok sebből vérző választási rendszer átfogó reformjára belátható időn belül nincs esély, állagmegóvására viszont feltétlenül szükség volna, mivel a hatályos jogszabályok elavultsága már évek óta alkotmányossági aggályokat is felvet.

The dissolution of the Hungarian Guard may radicalize and mobilize the far right.