Commission proposes to suspend €495 million of Cohesion Fund for Hungary for 2013 for failure to address excessive deficit

Commenting on the proposed suspension, Olli Rehn, the European Commission Vice-President for Economic and Monetary Affairs and the Euro said: "Today's proposal should be seen as a strong incentive for Hungary to conduct sound fiscal policies and put in place the right macro-economic and fiscal conditions to ensure an efficient use of Cohesion Fund resources. It is now for the Hungarian government to act before the suspension takes effect".

Johannes Hahn, Commissioner for Regional Policy, added: "It is now up to the Hungarian authorities to take the necessary measures without delay, in order to be able to reap the full benefit of the Cohesion Fund. Today's proposal is proportionate and leaves the possibility to continue investments via the Fund, whilst giving Hungary the chance and time to redress the situation.''

Press release:

Commission proposes to suspend 495 million Euro of Cohesion Fund for Hungary for 2013 for failure to address excessive deficit  

Statement by Commissioner Hahn on Hungary  

Statement by Vice President Rehn on Hungary