The government is trying as much as possible to get away with shutting down the economy; inflation has risen considerably; OLAF has announced that most of the EU money is being fraudulent with us. This is hvg.hu’s weekly economic summary.

Here’s the second wave of the epidemic: As many people were diagnosed with coronavirus each weekday as ever once on the worst days of spring. However, the government does not seem to want restrictions similar to those of the spring, it is content for the moment with the partial closure of the border.

We have reviewed the impact of this sector by sector. Meanwhile, the central bank has started to prepare banks for what to do if the government introduces more opening restrictions.

By defending itself against the epidemic, the government justifies the fact that the annual deficit of public finances is already HUF 2,261 million; this justification is partially true. And the MNB has announced that the population will finance the state less, although now it would be very necessary. The CSO also reported that the automobile industry is reducing industrial production; for the moment, we have managed to return to where we were after the first weeks of the epidemic; foreign tourists really didn’t want to come here even in July when they could, but Hungarians didn’t. they enjoyed a vacation and the recovery of our foreign trade was broken.

Inflation has risen to 3.9 percent, marking the biggest price hike in six months, although the previous month’s figure was almost as high. The indicator is high even though fuel prices are falling. This also means that retirees will receive a retroactive pension increase of 1.5 percent, which is the difference between the increase at the beginning of the year and the retirees’ first eight months of inflation.

Inflation was clearly driven by rising food prices, which rose 7.9 percent year-on-year. But the increase in the excise tax on tobacco also contributed to the price increase, which, according to the MNB, increased core inflation by 0.5%. Although Eurostat has not yet received the August inflation data from all Member States, based on the figures already available and the July results, we can be sure that Hungarian inflation will at least reach the podium, but we also have a chance at first place.

The EU Anti-Fraud Office has published its annual report for 2019. Between 2015 and 2019, OLAF recommended a penalty of 3.93% of the amount of EU grants paid to Hungary from the Structural Funds and Investment, that is, most of the EU funds are towed here fraudulently. In comparison, Slovakia, second on the list, is only 0.53%.

In 2019, five proceedings investigating a Hungarian case were closed, two of which were found to have misused EU money. This list is headed by Romania, where abuse was detected in 9 of the 11 cases.

Picture of the Week: California-Oregon Wildfires.

The epidemic has rewritten the business plans of many companies, even those that do not operate legally. In the first round, several people tried to sell useless masks or hand sanitizers, but phishing also flourished, as many moved from home to work overnight. But the impact of the epidemic has also been felt in traditional areas of the black market.

For example, drug use patterns have completely changed during the quarantine and the market has had to respond to this. Human trafficking has become more expensive and vulnerability has increased. In southern Europe and Latin America companies linked to organized crime in the food trade, logistics, cleaning services and funeral homes have also appeared.

Your place and date of birth, home address, telephone number, postal address and mother’s name should also be uploaded to an online registration interface, and then all the details of the person will be public; This is what the sign-up process looks like for someone who is going to be a regular private teacher. Those who want to do everything on a regular basis must provide and manage sensitive personal data for which they do not have adequate knowledge or experience in IT. At the moment, it is not possible to estimate how many will now work in black or permanently stop teaching.

Not only educators but also students need to keep records of their details in such detail; it’s true, at least not in public. Just one day before the entry into force of the requirements, on August 31, the Ministry of Innovation and Technology published its resolution and a set of examples that showed that training is what organizes the competition in an organized and focused way, pass whatever happens.

“The rust zone is a good idea, but it is a serious question what role will local governments have in this, who have only been given the right to comment, and the capital is not even that much,” said Gergely Karácsony in the Portfolio conference. The mayor also spoke about the fact that in recent decades all governments have called for the construction of new houses, the renovation of the existing housing stock was not among the goals. Now money will not be the problem, so much can come from the EU, the main question is whether there will be a partnership between the government, the capital, the districts and the developers.

According to Gergely Karácsony, the monofunctional parts of the city have developed in Budapest and in the agglomeration, the fabric of the city has not developed uniformly, many services, institutions and job opportunities are lacking. “People in the suburbs hate having to go to work and shop downtown, landlords hate it actually coming in and everyone hates traffic,” he said.

The reopening of the exit agreement is also not ruled out in the next round of Brexit negotiations, the British government said. Prime Minister Boris Johnson is drafting a bill that would unilaterally overwrite three clauses of the Northern Ireland deal. This would not only be a violation of international law, but could also destroy the results of the negotiations in recent years.

The European Commission has responded that it is an agreement ratified by all parties and incorporated into international law, the breach of which will make new negotiations impossible. The British government said that if there was no deal, the country would be ready to secede from the EU domestic market on January 1 without a deal.



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