Hungarian PM Says Sanctions on Russia Will 'Destroy' EU Economy

Budapest: Hungarian Prime Minister Viktor Orbán told state radio on Friday that the European Union must abandon its policy of sanctioning Russia over the war in Ukraine or risk triggering an economic collapse.

Since Russia's full-scale invasion of Ukraine in 2022, the EU has imposed multiple rounds of sanctions on Moscow, targeting sectors such as energy, banking, the world's largest diamond mining company, and various other businesses.

Orbán, known for his close ties with the Kremlin, has diverged from most European leaders by strongly opposing the sanctions, claiming they have harmed European economies more than Russia’s.

EU's sanction regime “should be reviewed, because with such a policy of sanctions, energy prices will not come down”, Orbán said on Friday.

“It will be painful for those who argued for sanctions.

Not for us, because we will see this as a victory, but the other camp has to change because otherwise it will destroy the European economy,” he said.

Currently holding the six-month rotating presidency of the EU, Hungary has downplayed retaliatory measures against Russia.

However, EU leaders are preparing to impose a new round of sanctions on Moscow.

On Thursday, the European Parliament adopted a resolution demanding the EU step up against Russia's so-called “shadow fleet,” ships that export Russian oil in violation of sanctions.

The legislature also wants the bloc to ban the import of Russian fossil fuels.

Orbán opposes such a ban, and has leveraged exceptions from the EU during previous rounds of sanctions that allowed landlocked Hungary to continue importing Russian oil and gas, which he argues are essential to sustaining Hungary's economy.

The Hungarian leader last week predicted that President-elect Donald Trump would pull US support for Ukraine in its war against Russia.

A Trump presidency, Orbán has argued, will revive Hungary's sputtering economy, now in a technical recession.

“The pro-peace presidential candidate won, and now we are waiting for peace,” Orbán said Friday.

(with agency inputs).