Country Risk

Hungarian ruling alliance looks to retain constitutional majority, signalling continuing policy direction

07 April 2014

Key Points

  • The ruling Fidesz-KDNP coalition of Prime Minister Viktor Orban won the 6 April parliamentary election and is set for another stable four-year term in power.
  • Fidesz-KDNP's strong parliamentary majority signals another period of uncertainty and unpredictable policies for foreign investors operating mainly in the energy and financial sectors.
  • The government's continuing agenda of balancing fiscal gap with emergency and short-term measures and vote-buying policies will likely further deter quality of the country's business environment.


The incumbent's victory in the 6 April election guarantees political stability in the coming four years, but at the same time increases regulatory uncertainty.

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