Hungary & Russia - Who really wants what?

  • Murat Deregözü

Abstract

This article aims to evaluate the evolution of Prime Minister Viktor Orbán's ''Eastern Opening'' initiative from economic level to political dimension in which brought Hungary and
Russia closer. The research hypothesis is that gains out of this particular engagement are
reciprocal and balanced? The author argues that Hungary’s new policy serves both Hungarian and Russian interests and offers mutual benefits but there are risks involved for Hungary. The paper argues that with new rapprochement Hungary has created decent room
for manoeuvre in the international system. Another official motive is Hungary’s search for
additional markets for its export-oriented economy. Given the limited size of Russian GDP
and import capacity, it is debatable that closer political link to Russia will pay off economically for the Hungarian economy. Recent trade and political tensions between the West
(of which Hungary is a part) and Russia (and China) increases the potential downside of
Orbán’s “Opening to the West”.

Published
2019-11-11
How to Cite
Deregözü, M. (2019). Hungary & Russia - Who really wants what?. Köz-Gazdaság - Review of Economic Theory and Policy, 14(3). Retrieved from http://retp.eu/index.php/retp/article/view/192