Hungary’s Bold Resistance: Delaying EU Sanctions Amid U.S.-Russia Talks

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Tejaswini Deshmukh
Tejaswini Deshmukh
Intrigued by the intersection of finance and technology, I delve into the latest RegTech advancements. With a keen eye for unraveling the complexities of compliance, I dissect current financial news and frauds.

Hungary has announced that it will not rush to approve the extension of European Union (EU) sanctions on Russian individuals, despite strong pressure from Brussels. The country’s foreign minister, who is currently in Washington for diplomatic discussions, stated that Hungary would block any move that could interfere with ongoing negotiations between the United States and Russia.

The EU has imposed sanctions on more than 2,400 individuals and entities linked to Russia since the start of the Ukraine conflict in 2022. These restrictions include asset freezes and travel bans on key figures, as well as economic measures aimed at weakening Russia’s ability to fund its military operations. Every six months, all 27 EU member states must agree to renew these sanctions. If just one country refuses to approve them, the sanctions could expire.

With the next renewal deadline set for March 15, EU diplomats have already begun discussions on extending the restrictions. However, Hungary has warned that it will not approve the extension without careful consideration. The country has a history of delaying such decisions before ultimately agreeing, often after securing certain reassurances from Brussels.

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Blocking Moves to Keep Peace Talks Alive

Hungary’s leadership has consistently pushed for peace talks instead of military escalation. The foreign minister expressed concerns that extending the sanctions without careful thought could make diplomatic negotiations between Russia and the U.S. more difficult. According to him, some European leaders are acting too quickly, making decisions that could stand in the way of peace efforts.

Brussels has been trying to persuade Hungary to support the sanctions, but the Hungarian government argues that European politicians are too focused on punishment rather than finding a peaceful resolution. The foreign minister accused them of being “pro-war” and too eager to take steps that could block potential peace talks.

Despite its opposition, Hungary has not ruled out eventually agreeing to the sanctions before the March deadline. In the past, it has used similar tactics to negotiate favorable terms with the EU before finally giving in to pressure. This time, the stakes are high, as the sanctions include restrictions on major Russian figures and economic measures that affect trade between Russia and Europe.

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Hungary Also Opposes More Weapons for Ukraine

In addition to its stance on sanctions, Hungary has also pledged to block new EU plans to send more weapons to Ukraine. European leaders are currently discussing a proposal to provide Kyiv with a fresh package of military support worth around six billion euros. Hungary, however, has strongly opposed this, arguing that sending more weapons will only escalate the war rather than bring it to an end.

Earlier this week, Hungary welcomed high-level discussions in Riyadh between Russian and U.S. officials. The Hungarian foreign minister dismissed European concerns over Washington’s unexpected policy shift, criticizing those who opposed the talks as being against peace efforts.

While Hungary continues to block new military aid for Ukraine, it has still agreed to a limited round of fresh sanctions on Russia. These measures, including a ban on Russian aluminum imports, are set to be officially approved on Monday.

For now, Hungary remains firm in its decision to slow down the EU’s sanction process. With negotiations between Russia and the U.S. underway, Budapest is making it clear that it will not support any measures that could complicate diplomatic efforts. However, given its history of last-minute compromises, it remains to be seen whether Hungary will ultimately approve the sanctions before the March deadline.

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