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Hungary will not give up independent tax policy, PM says

Hungary does not wish to join any agreement which involves tax harmonisation or giving up a nationally independent and competitive tax policy, Prime Minister Viktor Orban told an international news conference in Budapest on Thursday.

Mr Orban said, however, that it was important that the euro zone should solve its crisis and that Hungary would not do anything to block its ability to do so.

"While we did not cause the euro-zone crisis, and we cannot provide a solution to it either, we don’t want to put an obstacle to the members of the euro zone solving difficult, unresolved issues," Orban told the news conference held jointly with his Czech counterpart Petr Necas.

He said putting a common budgetary policy behind the single currency was a great endeavour and he wished them luck in this enterprise.

He added that Hungary was among the best performing members of the EU in terms of fiscal rigour and a predictable economy because it was able to adhere to a rational financial policy without having to contend with outside pressure.

Mr Orban said enhanced European fiscal discipline would not provide any guarantee or security for Hungary since the country itself was already keeping a stern watch over its finances.