During the “Stand Up and Share” session at our recent Interact Law Conference in Warsaw, Tamás Felsmann, Partner at the the Budapest office of CEE Attorneys, touched on the recent political developments in Hungary following the parliamentary elections held on 12 April 2026.

After sixteen years of governance by the right‑wing party, Fidesz, a new political actor — the Tisza Party — has been entrusted with forming a government, having secured a two‑thirds parliamentary majority.

The international business community has expressed clear expectations regarding the new government, particularly with respect to strengthening relations with the European Union and ensuring the swift and efficient access to EU funds. These expectations have been reflected in market movements: the Hungarian forint appreciated significantly in the days following the election, and this positive trend has not changed since.

The party’s programme also signals a strong commitment to the EU. Preparations are planned for the introduction of the euro, replacing the forint as the national currency, subject to meeting the Maastricht criteria. The government has also placed a strong emphasis on anti‑corruption measures, including renewed efforts to join the European Public Prosecutor’s Office. In addition, the new administration intends to halt the process of withdrawing from the International Criminal Court, ensuring Hungary remains a full member.

Transparency will be a key priority, particularly in the area of public procurement. Market participants anticipate a review of existing supply chains and a more open economic environment that enables new entrants to participate.

The government also plans to decentralise certain administrative functions, granting local municipalities a more prominent role — for example, in local construction matters and in shaping the visual character of towns and cities, including the regulation of public advertising.

A comprehensive tax reform is expected. The personal income tax applied to the minimum wage is planned to be reduced from 15% to 9%. At the same time, individuals with substantial wealth will be expected to contribute more: a 1% wealth tax is planned on assets exceeding HUF 1 billion.

Finally, the new government considers regional cooperation to be of strategic importance, particularly among the Visegrád Four (Czech Republic, Hungary, Poland and Slovakia). The newly elected Prime Minister’s first international visit was to Poland, with the Hungarian delegation arriving in Warsaw one day before the start of the Interact Law conference.