Thursday, July 2, 2020

COVID-19 and Hungary’s steep slide towards Authoritarianism

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Aditi Mohta

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COVID-19 and Hungary’s steep slide towards Authoritarianism

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Global Views 360

Publication Date

July 2, 2020

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The Hungarian Prime Minister, Viktor Orban

The Hungarian Prime Minister, Viktor Orban | Source: European People's Party via Wikimedia

The Hungarian Prime Minister, Viktor Orban, has used the pandemic of coronavirus to turn Hungary into an authoritarian system. This undermines the fundamental principles of democracy and rule of law in a way that is hard to reconcile as necessary for public health. On 30th March 2020, the Hungarian government passed a bill in the parliament which approved granting his government emergency powers.

Critics have said that the emergency of the coronavirus pandemic has turned Hungarian democracy into a dictatorship. This bill, which turned into a law, diminishes the Parliament’s check on the executive power. This means that elections and referendums will be delayed indefinitely.

Political commentator Zoltan Cegledi told BIRN, “Hungary’s already run as an illiberal democracy, the government’s will to destroy, limit and exhaust democracy is permanent. Its future victims will be the remnants of autonomy. Even before the pandemic threat, they [the government] tried to besiege cultural institutions and representatives while attacking judicial independence.”

The legislation under the law also allows up to five years of imprisonment for anyone who publishes false or misleading information that alarm or agitate the public or undermine the government’s “successful protection”. This also means that it is easy for the executive powers to jail the journalists for doing their job. Political Capital Institute, a Budapest-based think tank also wrote “The remaining checks and balances in Hungary will cease to exist and the country will likely witness a new wave of attacks against the free press,” while analysing the bill.

Crucially, the Bill on Protection Against Coronavirus, now a law, does not have any sunset clause. This means the law allows the government to decide when (or if) to end the state of emergency. Hungary’s democratic opposition said that even though they had concerns over a number of elements in the bill, they were willing to overlook it in the emergency situation as long as the sunset clause was introduced. However, the ruling party had made it clear that it was not willing to back down over the sunset clause.

Lydia Gall, a senior researcher at the Human Rights Watch said that Orban had already “weaponized coronavirus to stoke xenophobia” after claiming that coronavirus was imported to Hungary by Iranian students.

The question now arises is why Orban is doing this? There are two reasons. One, this labels the opposition as the “supporters of the coronavirus”, instead of supporters of the people, which will win his government the political debate in advance. Two, Orban sees this as the perfect time for a power grab. Every country is dealing with how to save the lives of its citizens and avoid a total economic collapse- this makes the country more inward-looking, which means that the foreign policy, in general, becomes less important and human rights and the rule of law in other countries become issues of less importance for most politicians and citizens, even though that should not be the case. When there is a death threat, the citizens of a country have a more narrow view. This is how Orban’s strategy of a power grab would work perfectly in the time of an emergency like a pandemic. Rights groups and government critics have said that while it is clear that coronavirus brings extraordinary challenges, there need to be checks and balances in place for the government, especially given Orban trying to challenge the democracy of Hungary since the past ten years since he has been in power.

Orban is not alone in seeing the pandemic as an opportunity to invoke emergency powers and turn a democratic state into an authoritarian one. But this enabling act represents his latest step along the autocratic path he embarked on a decade ago.

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February 4, 2021 5:11 PM

How the French government is using Brexit for its economic advantage

Brexit is an abbreviation for "British exit," which refers to the decision of the UK to leave European Union (UK). The decision to leave the EU was put to a referendum on June 23, 2016 by the then Prime Minister Boris Johnson, which resulted in a 52% to 48% majority for those who called for the UK to leave the EU.

The UK had joined the European Economic Community in 1973, and later became the founding member of European Union in 1992. The entry of the UK had always generated opposition from a section of the political spectrum in the country. It was earlier opposed by the left wing parties followed by the Eurosceptic parties like UKIP (United Kingdom Independence Party) and later propagated by a section of Conservative party.

After a lot of false starts, the UK Parliament ratified Brexit which specified that the UK will leave  the EU on 31 January 2020. An eleven month long transition period was also specified to enable the UK and EU to negotiate their future relationship. During this transition period the UK will remain subject to EU law, remain part of the EU customs union, and single market, but no longer be part of the EU's political bodies or institutions.

Euro, the currency of European Union | Source: Markus Spiske via Unsplash

The loss of the UK, the largest non-eurozone member of the EU means that the focus shifts towards the eurozone members but more importantly it leaves a 75 billion euro deficit in the EU’s budget and raises questions regarding its future direction. In the absence of the UK, it would be challenging for the EU to continue its commitment towards fiscal responsibility, free trade and enlargement of the block.

A 2019 report from New Financial Aid cited that Britain’s exit from the EU would mean the bloc losing its biggest financial centre, London. It also mentioned that many business hubs and financial organizations had started opening hubs in the EU to cope with Brexit.

As per New Financial Britain accounted for almost one-third of the entire capital market activity of the EU, which is more than France and Germany combined. The report had suggested that France and Germany would have a “duopoly” in most major financial sectors post UK’s exit, with France being the dominant in most of the sectors.

Emmanuel Macron, President of France | Source:  Presidencia de la República Mexicana via Wikimedia

The two biggest economies of post-Brexit EU, France and Germany have taken different public postures on Brexit. The president of France, Emmanuel Macron has termed Brexit as a blessing in disguise for France and an opportunity for “European renaissance.” His German counterpart, Angela Merkel has however, chosen to remain silent on the issue.

France has taken an aggressive stance on attracting business away from the UK ever since the 2016 referendum in the UK was won by the leavers in the UK. France under president Macron has rejigged its tax system and reformed its labour laws to create a more business-friendly environment.

Paris had also initiated a poster campaign with the slogan “Tired of the fog? Try the frogs!” in a bid to drive financial investments from London in the wake of the Brexit developments in late 2016. Officials from Paris had also assured stability to the British businesses citing that Paris would be the only global city left in Europe after the exit of Britain.

Arnaud de Bresson, managing director of Paris Europlace, the organization responsible for promoting the financial sector in France points out that Paris is well ahead of its competitors in the EU-27 bloc with nearly 180,000 employees in the financial sector. The next best figures are from Frankfurt with 70,000 workers from the financial sector as per the report by the organization. Brexit has resulted in nearly 80 to 100 financial businesses from London relocating nearly 4000 jobs to Paris, and as per de Bresson this process is “likely to accelerate”.

The French Economy Minister, Bruno Le maire had said in February 2020 that Paris would become the leading financial centre in Europe in the wake of Brexit. He even went ahead to say that the French economy “must take advantage of Brexit”. However, his statements are not exactly accurate. The UK still remains the undisputed leader in the financial sector with 250,000 employees and 7% contribution to its GDP.

French senator Christian Cambon | Source: Boicaro via Wikimedia

French senator Christian Cambon who serves as the co-chair of the Senate Brexit Committee had warned in 2019 that Brexit could have adverse impacts on a few sectors of France’s economy. "Our farmers, our fishermen, our businesses, and the regions of Normandy and Haute France. It will have consequences for all these areas and for the whole of the EU, it could even give other members some ideas. That’s why we want to follow the process step by step while abiding by the competences of the Senate." French fishing industry members have had concerns over being denied access to British waters post Brexit, considering that 75% of fishing taking place in Haute France is in British territorial waters.

However, President Macron remains as optimistic as ever regarding Brexit’s impact on the nation’s economy and has been actively promoting his nation via a series of reforms to attract businesses and investments. He also launched the 'Choose France' package which provides financial help and English-language support to UK based businesses that want to move to France.

The short-term projections are pointing to be somewhat in favour of France, it remains to be seen if Brexit will have a positive impact on the nation’s economy in the longer run or the UK will have the last laugh.

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