Economic Challenges for Viktor Orbán

Viktor Orbán’s hopes for his Fidesz party’s success in the upcoming 2026 elections are being challenged by mounting threats to the Hungarian economy. According to Reuters, rising inflation, falling public sentiment and a fertility problem are posing difficult challenges for the current government.

The latest blow for Orbán came as the central bank warned of rising inflation risks, which are worsening the country’s economic situation. The government also faces the possibility of new US tariffs that threaten Hungarian exports and overall economic development.

Following Russia’s aggression against Ukraine in 2022, Hungary experienced the strongest inflation surge in the European Union, significantly eroding the purchasing power of its population. According to political economist Balazs Szent-Ivanyi of Aston University, this was one of the biggest drops in living standards since Fidesz came to power in 2010.

A survey conducted in January by insurance company Generali showed that Hungarian consumers have become significantly more pessimistic about their financial prospects compared to the previous year. Almost 40% of Hungarians expect their financial situation to worsen in the coming months.

Other economists also do not believe that the economic growth target announced by Orbán will be achieved. For example, Erste Bank predicts growth at 2%, which is significantly lower than the level set by the government. The European Commission also predicts a decline in economic growth to 1.8%, which is considered one of the weakest indicators in Orbán’s 15 years in power.

According to an analysis by Policy Solutions, Hungarians are most worried about their salaries, which are among the lowest in the EU. Despite this, food prices have reached the Eurozone average, making the financial situation more difficult for many Hungarians.

The coming months will be crucial for Orbán and his party, as preparations for national elections take place against a backdrop of economic difficulties. The results will determine the future political leadership of the country, which is going through difficult economic times.