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Gergely Gulyás, minister leading the prime minister’s office, at the press conference
Starting next year, the 14th month pension will be introduced gradually, the minister leading the prime minister’s office announced at a press conference on the government’s latest decisions on Thursday. Gergely Gulyás reported that the government would extend the interest rate freeze for another six months and that measures had also been taken in the area of child protection. He also provided information about the talks between Viktor Orbán and Donald Trump in Washington.
At yesterday’s cabinet meeting, Prime Minister Viktor Orbán reported on his visit to the United States. Hungarian-American relations have never been better since the fall of communism, Minister Gulyás said at the press conference. He explained that Hungarian-American relations are characterized by shared values, as both countries are committed to sovereignty and share the same views on migration, LGBTQ issues, and family policy.
As a result of the negotiations, he emphasized that Hungary had succeeded in defending the reduction of utility costs, so that the country was exempted from American sanctions against Russian energy sources, the Minister explained. “Hungary has been granted full and unlimited exemption from U.S. sanctions on Russian energy carriers in the case of the Druzhba oil pipeline and the TurkStream natural gas pipeline,” he said. “If this had not been the case, U.S. sanctions would have come into force on these pipelines from November 21, and the price of energy carriers in Hungary would have doubled or tripled,” the Minister added.
It is in the government’s interest that peace prevails in Ukraine, Minister Gulyás said.
President Trump reiterated that he would continue to be committed to peacemaking, and that when the time was right, a peace summit could be held in Hungary that would contribute to ending the war,
he noted about last week’s talks in the United States.
Gulyás remarked that the economy in the energy sector, high-tech sector, and defense industry is experiencing an upswing. Significant American investment is flowing into Hungary, and Hungarian companies are also able to expand in the United States. In addition, America offers the country a financial shield, which is not currently needed, but can be provided by the U.S. government if necessary, he added.
Pension
The government has decided to introduce a 14th month pension. Next February, all pensioners will receive a quarter of the 14th month’s pension in addition to the 13th month’s pension. Gulyás said that they are sticking to the previous practice: when the 13th month pension was introduced, it was also paid in installments. This means that in February, the first quarter of the 14th month pension will be paid, at the same time as the 13th month pension.
This means that everyone will receive their pension plus 125 percent extra,”
he explained.
Despite all the difficulties, Hungary is able to fulfill its commitment to maintain the real value of pensions, and when possible, to increase them, he concluded.
Interest Rate Freeze
He also announced that the government had decided to extend the interest rate freeze by six months, which also includes the extension of interest subsidies on student loans. This affects 273,000 mortgage loan agreements, and the extension of student loan interest subsidies means that the interest rate on loans will remain unchanged at 7.99 percent in the first half of 2026, he said.
He acknowledged that a well-functioning economy needs well-functioning banks, but pointed out that banks’ profits have grown two to two and a half times in recent years.
Child Protection
Gulyás informed the media that at Wednesday’s cabinet meeting, the government again discussed the resources allocated to child protection, not only the additional HUF 17 billion (EUR 42 million) allocated to this area this year, but also next year’s allocation.
He emphasized that foster parents’ allowances will be doubled – a huge step towards ensuring that as many children as possible can be placed with foster parents.
The Minister pointed out that around 23,000 Hungarian children and young people are forced to live away from their biological families, with over two-thirds of them living with foster parents and 30 percent in institutional care.
The government also decided that foster parents’ employment status will continue to be classified as full-time employment, with the budget now providing 60 percent of the minimum wage for each child. Instead of the supplementary allowance previously paid for the second, third, and fourth children, foster parents will now receive the full basic allowance for each foster child.
The foster parent allowance for children with disabilities will be increased from 7% to 15%. All this will help foster parents in their work by several hundred thousand forints, he said.
The entire child protection system is planned to be strengthened, with the creation of approximately 200 new guardianship positions, costing HUF 1.8 billion (EUR 4.7 million), and an increase in the number of child protection guardians and their allowances.
He added that school guards will also be employed, totaling approximately 700 people. All these expenditures amount to approximately HUF 4 billion (EUR 10.4 million) in next year’s budget, he noted.
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p style=”text-align: justify”>Via MTI, Featured image: MTI/Bruzák Noémi
The post Government Announces 14th Month Pension and Child Protection Measures appeared first on Hungary Today.
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