WEBVTT

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Good afternoon, ladies and gentlemen, I welcome the President of Russia!

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I would like to thank him on behalf of Hungary 

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and the Hungarian people for visiting us.

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A visit by the President of Russia is always a great honour for us.

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We held lengthy and very successful talks that prioritised 

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economic issues. Perhaps you know that Hungary strives to maintain 

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transparent, good contacts with Russia.

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Once a year we discuss the state of bilateral affairs.

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Last year, I visited Moscow at the invitation of the President,

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and we are grateful to him for making a visit in return.

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We stated that both sides have fulfilled the promises that were made 

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two years ago, a year ago. We signed regional cooperation documents.

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Hungary opened its General Consulate in Kazan and we signed a plan 

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of consultations at the level of foreign ministries.

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We thank the President for the fact that our previous gas supply 

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agreements were modified and gas supplies were therefore 

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guaranteed for us through 2021.

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Today we took the decision to ask our officials to begin 

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negotiations on gas supplies beyond 2021.

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We also addressed nuclear energy cooperation.

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We agreed that we have already eliminated the majority of obstacles.

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One issue remains open and we are waiting for an EU decision on it.

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We are convinced that our agreements are fully in compliance with EU 

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requirements and we very much hope that this year we will be able 

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to begin preparations and go ahead with construction in 2018.

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The results of our economic cooperation are especially valuable since 

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we achieved these results in a particularly difficult 

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international situation.

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As you can see, anti-Russia rhetoric has become trendy 

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on the continent, in its western part.

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And under these conditions we had to uphold our economic contacts 

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and preserve everything we could.

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It makes me sad to say that despite all our efforts, unfortunately,

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we have lost a lot in trade between our countries: 

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$6.5 billion is the damage that was caused to our economies.

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Hungary continues to maintain that non-economic problems cannot be 

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resolved by economic means.

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Other conflicts should not be moved to the economic area 

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because this will hurt everyone.

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This is why we hope that in the near future we will be able to welcome 

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new, good relations between Russia and the European Union.

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It is very difficult to live if we do not have open,

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productive and intensive forms of cooperation with the powers that be.

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Many of our expectations in cultural and humanitarian areas 

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were also met. We agreed on student exchanges.

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Hungary also took the decision to finance the renovation 

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of four Orthodox parishes.

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I am convinced that one of the most important results of our 

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cooperation is that over the past two years,

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pursuant to the agreements with the Russian President,

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we have carried out investment projects in the food industry.

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This is very important for the Hungarian economy,

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and we would like to move on from agriculture and provide investment 

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opportunities also to Hungarian companies in the water industry.

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Hungary has world-class technology and this will be a major 

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breakthrough also in terms of foreign trade between our countries.

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We know very well that open discussions are ongoing in the European 

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Union on a wide range of foreign policy issues. We also discussed them.

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We sought to preserve and save everything from Russian-Hungary contacts 

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that we could, and when the world returns to the sound logic 

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of cooperation, the Hungarian economy will have a head 

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start in developing the Russian market.

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This leads me to the conclusion that from the economic 

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and economic-political perspective,

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our talks were successful, for which I thank you, Mr President.

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Mr Prime Minister, ladies and gentlemen,

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Let me start by thanking Prime Minister Orban and all of our Hungarian 

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colleagues for the invitation and the chance to continue our practice 

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of exchanging views at the highest level.

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We discussed practically the full range of bilateral relations,

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and of course, as the Prime Minister said just now,

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we focused particularly on supporting, developing,

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and finding new opportunities for economic cooperation.

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We value the Hungarian government’s desire to steadily develop mutually 

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advantageous cooperation with Russia.

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Hungary is, without doubt, one of Russia’s important 

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and reliable partners in Europe.

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Our countries conduct a regular political dialogue,

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our foreign ministries have close contacts,

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and our Intergovernmental Commission on Economic Issues is working effectively.

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During today’s talks, as I said,

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we gave priority attention to economic cooperation matters.

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The objective figures show, regrettably,

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that bilateral trade has nearly halved over the last three years.

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The investment sector reflects this same negative trend.

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Last year, mutual investment fell nearly by half.

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No one can be happy with this situation, of course.

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In this context, we discussed and outlined concrete measures 

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to activate our reciprocal trade and investment.

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The Prime Minister spoke just now about one of the possibilities 

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in this area – to expand mutual investment and put it 

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to use for both economies’ benefit.

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In particular, we agreed to develop our energy sector cooperation.

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We place great importance on the construction, carried out by Rosatom,

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of two new power units at the Paks nuclear power station,

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a project that is worth 12 billion euros.

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This nuclear power station has been operating for a long time 

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in Hungary and today produces close to 40 percent of all electricity 

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produced in that country.

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The launch of the two new units will make it possible to double 

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electricity production and satisfy the demand for electricity that is 

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essential in order to develop new production facilities in Hungary.

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The project will also create new jobs, around 10,000 jobs.

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There are good prospects for developing cooperation 

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in the oil and gas sector.

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Russia supplies a substantial share of the hydrocarbons used in Hungary. 

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Furthermore, Hungary is a reliable link in the transit 

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chain for Russian energy supplies destined for Western Europe.

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Hungary is taking part with good results in developing 

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hydrocarbon reserves in Russia.

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Hungarian energy company MOL is developing oil fields in Western Siberia and plans to increase production.

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MOL’s subsidiary is already producing 

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590,000 tonnes of oil a year in Russia.

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During the talks, we agreed to work more intensively on bolstering 

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industrial cooperation, including in high-tech 

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and science-intensive sectors.

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Let me note that production of passenger buses using Russian composite 

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materials has begun in Hungary.

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Russian technology is also being used to modernise 

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the Budapest metro’s rolling stock.

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We have plans for joint production and supply of railway 

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cars to other countries’ markets.

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Hungarian companies are active in the Russian 

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pharmaceuticals industry and agriculture.

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We have established close partnership ties between all 19 Hungarian 

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regions and more than 50 of Russia’s regions.

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We will continue to give our full support to the regions’ desire 

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for direct cooperation, and, as you know, today,

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we will approve the comprehensive programme for developing 

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regional cooperation for 2017–2022.

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Our bilateral cultural and humanitarian ties are developing 

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successfully, and we are expanding our ties in education.

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It is pleasing to see the renewed interest for studying 

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the Russian language in Hungary.

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Of course, we are very grateful to Mr Orban and to all of our Hungarian 

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friends for the support they give to teaching Russian and to developing 

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humanitarian ties, including the restoration and repair of religious 

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buildings and institutions, which is being carried out 

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at the Hungarian government’s initiative.

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During the talks, we also discussed in detail current issues 

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on the European and global agendas.

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I briefed our colleagues in detail on our view regarding events 

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in eastern Ukraine, and in the Middle East,

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including in Syria. On this matter, at least,

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we definitely share a common position, namely,

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that we must join forces to combat international terrorism.

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Political settlement in Syria and other Middle Eastern countries,

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and the entire region’s return to normal life as soon as possible,

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would certainly help to ease the serious migration crisis 

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in Europe in general.

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I hope very much for active cooperation with our Hungarian 

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partners in all of these areas.

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In conclusion, I want to thank our Hungarian partners and Prime 

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Minister Orban for the warm reception and the substantive 

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and productive talks.

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We have further talks ahead and we will now continue these discussions 

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together with our ministers.

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That said, the initial work in narrow format already shows that we have 

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a common desire to achieve concrete results.

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Thank you for your attention.

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A question for Mr Viktor Orban.

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How do you view the international space for future cooperation between 

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Russia and Hungary? Do you see any changes?

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Of course, along with national pride,

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we need to realise that Russia and Hungary move in different dimensions 

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concerning military, geopolitical,

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and foreign policy issues.

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But I think it is best when you know your place and you take on a role 

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and set goals that correspond to your country’s weight,

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size and influence. President Putin briefed us on the situation 

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in Syria. We can join in only those peacekeeping missions that will 

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protect the Christian community,

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because we consider it very important to protect Christian 

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communities around the world.

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In other words, Hungary can take part in helping to settle 

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international issues even in places where it does not play a major part.

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 We are very grateful to Mr Putin for the information we received.

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As for the international stage, we can all feel the atmosphere today,

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and we see that serious changes are taking place in the world.

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We think that the changes underway today will create more favourable 

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conditions for cooperation between Europe and Russia,

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including between Hungary and Russia,

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which will be better than before.

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I am optimistic about the future and I believe that balanced contacts 

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between Russia and the European Union are essential for peace in Europe.

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The media said before the talks that the discussion will 

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focus on energy issues.

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Did you discuss whether the Nord Stream will be linked to Hungary 

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in any way, and whether there will be new talks on the Paks loan?

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Regarding the final question, no,

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we did not discuss this.

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Of course, Hungary’s financial situation in the international economic 

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environment has improved of late,

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and we have a good agreement with Russia.

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We do not want to risk it, and we seek to have it go ahead.

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We are waiting for the construction work to finally begin, because –

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what kind of nuclear power station is it that everyone is talking about 

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but no one has seen? They haven’t even dug the first hole yet.

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We are waiting for work to start.

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A review of the agreement is not currently on the agenda.

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We want to go ahead with what I and President Putin signed earlier.

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With regard to gas supplies, we cannot ignore the issue of stability 

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of gas supplies across Ukraine. This is the key issue.

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We are aware of a great deal of issues that cause uncertainty,

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so we have always stood for diversifying our supply lines.

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The European Union has blocked something that would have 

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served the interests of Hungary.

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That is, we are in the midst of a kind of stagnation,

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but we are interested in bringing that issue back on the agenda.

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We have the necessary capabilities in the north as well,

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which we aren’t using yet, but if need be,

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and national economic interests require us to do so,

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we will buy gas from Russia via the northern route.

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I will add a couple of words to that.

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We discussed the South Stream, a project, which,

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unfortunately, no longer exists. We covered the Nord Stream as well.

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Regarding Nord Stream-2, there is, indeed,

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the technical capability for Hungary to receive Russian gas 

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via Nord Stream-2. This can be done via Slovakia or Austria –

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this is quite a feasible project.

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Russian gas can also be moved via the Turkish Stream.

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There are other options as well.

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By the way, we do not have any political goals when it comes to gas 

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transit through Ukraine.

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If it is economically viable and safe,

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we do not rule out the possibility of moving some gas 

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through Ukraine as well.

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The issue is about diversification and the economic 

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viability of these routes. We are exploring all possibilities.

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One thing is certain: Russian gas supplies to the Hungarian market will 

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be reliable, that is a 100-percent guarantee.

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Regarding other projects, for example, Paks nuclear power station,

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I mentioned that this project costs 12 billion,

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80 percent of which was supposed to come from a Russian loan.

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I apprised the Prime Minister of other options.

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We are prepared to finance 100 percent of it,

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but then the terms and conditions of the agreement should 

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be slightly different. We can do this as well.

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Please note also that, as I mentioned earlier,

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it is also about creating 10,000 new well-paying high-tech jobs.

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This will, of course, improve reliability and grow 

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the Hungarian economy in general.

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I have a question about Ukraine.

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Mr President, your position on the conflict in Donbass is known.

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I would like you to clarify the following: why did this 

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flare-up occur at this particular moment?

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Since we are in Hungary, I would like to ask Mr Orban the following question:

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 What do you think about the situation in Ukraine,

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especially since there is a Hungarian minority residing 

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in Transcarpathia? Can you influence Kiev in any way,

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00:20:41.051 --> 00:20:43.825
so that there is no discrimination against the Hungarian population?

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With regard to the current flare-up,

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we stated that it is already happening.

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Our position is, in fact, known: it was provoked by the Ukrainian side.

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Actual fighting began last Friday.

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On Sunday, the so-called Ukrainian voluntary units captured 

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00:21:05.215 --> 00:21:10.178
an opposition stronghold and moved 200 metres into the territory 

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controlled by the militias. On Sunday, they were driven out of there.

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Why is this happening now? I believe there are several reasons for that. 

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First, the Ukrainian leadership needs money,

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and the best way to drum up some money is to go to the European Union,

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individual countries of Europe, the United States,

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or international financial institutions,

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posing as a victim of aggression. This is my first point.

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Second, as we all know, during the presidential campaign in the United States, 

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the Ukrainian government adopted a unilateral 

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position in favour of one candidate.

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More than that, certain oligarchs,

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certainly with the approval of the political leadership,

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funded this candidate, or female candidate,

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to be more precise. Now they need to improve relations with the current 

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administration, and using a conflict to do so is always a better,

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easier way to draw the incumbent administration into addressing 

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Ukrainian problems and thus establish a dialogue.

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The third reason is related to domestic politics.

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In the wake of the utter failure of economic and social policies,

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the internal opposition has stepped up its activities 

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and needs to be shut up.

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It is also necessary to rally the people around the current leaders.

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This issue can also be resolved more easily if the conflict resumes.

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There is another consideration.

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I think that the current Ukrainian government is not at all willing 

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to implement the Minsk agreements and is just looking 

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for an excuse not to do so.

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The resumption of the conflict would serve that purpose.

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I very much hope that sensible people in Ukraine,

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as well as those who are interested in addressing such issues through 

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political means, will not allow the situation in southeastern Ukraine 

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to follow the worst-case scenario,

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but will instead concentrate all their attention and efforts 

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on complying with the Minsk agreements.

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The Ukrainian Prime Minister recently visited Hungary.

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We had productive talks and signed several agreements.

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Ukraine was a topic of our talks today,

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as it is our common neighbour.

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Hungary is interested in having the Minsk agreements 

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fulfilled unconditionally.

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We do not see any other solution, and Hungary, with its modest means,

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00:24:04.585 --> 00:24:07.742
is doing everything possible to encourage compliance with 

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00:24:07.742 --> 00:24:09.321
the Minsk agreements.

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00:24:09.321 --> 00:24:14.110
I want to say it loud and clear that Hungary is interested in Ukraine 

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becoming a stable and successful country.

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00:24:16.915 --> 00:24:22.205
We will do our best as part of Hungary-Ukraine cooperation 

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00:24:22.205 --> 00:24:25.885
to create a stable Ukraine.

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00:24:25.885 --> 00:24:30.205
However, peace is the starting point and peace is only possible 

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00:24:30.205 --> 00:24:32.702
on the basis of the Minsk agreements.

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It is in our interest to see the Minsk agreements implemented,

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because this will not only stabilise the situation in these two 

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regions, but also take care of other issues,

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such as providing democratic rights to ethnic minorities,

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00:24:52.171 --> 00:24:58.347
as the current discussions about the language of instruction in Ukraine 

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are far from beneficial for the Hungarian minority.

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00:25:02.721 --> 00:25:08.043
Hungary is interested in an economically stable and prosperous Ukraine,

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00:25:08.043 --> 00:25:10.966
and we will do our best in that regard.

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This question is for the Prime Minister.

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00:25:25.636 --> 00:25:28.567
I would like to follow up on the critical issue of energy supplies.

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I would like to hear more specifics from you.

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This is really an important issue,

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00:25:33.384 --> 00:25:35.373
and the numbers are very impressive.

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00:25:35.373 --> 00:25:38.392
We are aware of the fact that Hungary receives 75 percent of its oil 

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00:25:38.392 --> 00:25:42.142
and 60 percent of its gas from Russia.

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However, we also remember that Hungary wasn’t too enthusiastic about 

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expanding Nord Stream, but was quite interested 

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in implementing South Stream.

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As we now know, there is no South Stream,

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00:25:56.949 --> 00:25:59.079
but there is Turkish Stream now.

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00:25:59.079 --> 00:26:07.002
I would like to know your plans regarding interaction in this sphere.

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00:26:16.562 --> 00:26:20.861
The President of Russia said an important thing,

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00:26:20.861 --> 00:26:23.779
and I want to say it again.

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It is important for us to get Russian oil and gas to Hungary.

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00:26:30.569 --> 00:26:33.922
This is what we agreed upon between ourselves,

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00:26:33.922 --> 00:26:36.692
and the President guaranteed it to us.

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00:26:36.692 --> 00:26:42.194
Compared with that, all other issues are technical matters.

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00:26:42.194 --> 00:26:48.322
Most importantly, we have reached an agreement.

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00:26:48.322 --> 00:26:52.645
The Russian President gave his word to the effect that Hungary,

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00:26:52.645 --> 00:26:57.517
no matter what, will receive the necessary amount of oil and gas which 

337
00:26:57.517 --> 00:27:00.313
our country needs to function properly.

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00:27:00.313 --> 00:27:04.402
South Stream would serve our interests well,

339
00:27:04.402 --> 00:27:07.097
but it is beyond our control.

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00:27:07.097 --> 00:27:10.074
We are interested in Turkish Stream.

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00:27:10.074 --> 00:27:12.401
We will be pleased to participate in it.

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00:27:12.401 --> 00:27:15.424
If there is such an opportunity we will take advantage of it.

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00:27:15.424 --> 00:27:20.418
And natural gas supplies from the north are also in our interest if we 

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do not get gas from other sources.

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00:27:25.702 --> 00:27:31.373
I should tell you that Hungary is not in a very friendly environment.

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00:27:31.373 --> 00:27:34.273
We have neighbours in the European Union.

347
00:27:34.273 --> 00:27:37.090
We are members of the European Union.

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00:27:37.090 --> 00:27:42.446
Hungary has built its capacities in the direction of both Croatia 

349
00:27:42.446 --> 00:27:47.650
and Romania, from where we could receive alternative supplies,

350
00:27:47.650 --> 00:27:53.412
but neither Croatia nor Romania – nor the European Union, if you will –

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00:27:53.412 --> 00:27:58.688
has for its part built these capacities so that we could provide 

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00:27:58.688 --> 00:28:03.476
reverse flow supplies and also receive supplies from there.

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00:28:03.476 --> 00:28:07.852
In other words, Hungary is blocked from the south.

354
00:28:07.852 --> 00:28:12.622
This is why a key issue from Hungary’s perspective is that 

355
00:28:12.622 --> 00:28:18.201
the President of Russia says that Hungary will receive the necessary 

356
00:28:18.201 --> 00:28:20.950
gas and oil in one way or another,

357
00:28:20.950 --> 00:28:27.133
even if in a roundabout way. This is a very important statement for us.

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00:28:27.133 --> 00:28:31.075
We gratefully thank the President for this.

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00:28:31.075 --> 00:28:33.814
Diversification is a good thing,

360
00:28:33.814 --> 00:28:38.819
but if we are the only party that does it while other countries do not,

361
00:28:38.819 --> 00:28:41.075
then unilateral contacts remain.

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00:28:41.075 --> 00:28:46.265
To reiterate, the arrangement with the President and the agreement that 

363
00:28:46.265 --> 00:28:49.233
we have signed is of key importance to Hungary.

364
00:28:49.753 --> 00:28:52.097
I can only add to what has been said.

365
00:28:52.097 --> 00:28:56.713
Indeed, we are doing all we can to ensure supplies to Hungary.

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00:28:56.713 --> 00:29:01.732
Hungary is a reliable, solvent and stable partner.

367
00:29:01.732 --> 00:29:07.156
We are interested in supplying our raw materials to the Hungarian 

368
00:29:07.156 --> 00:29:10.824
market and we will search for any ways to carry out these 

369
00:29:10.824 --> 00:29:13.435
plans. We will definitely find them.

370
00:29:13.435 --> 00:29:16.012
I would like to set the record straight.

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00:29:16.012 --> 00:29:18.911
We absolutely do not politicise these issues.

372
00:29:18.911 --> 00:29:22.066
It is a purely economic matter, above all,

373
00:29:22.066 --> 00:29:26.947
a matter of economic expediency. No routes can be ruled out here.

374
00:29:26.947 --> 00:29:30.286
We are ready to revisit anything.

375
00:29:30.286 --> 00:29:34.729
We are not going to take offence at Bulgaria or other countries 

376
00:29:34.729 --> 00:29:38.242
for failing in their time to summon enough courage to stand up 

377
00:29:38.242 --> 00:29:41.052
to European Commission’s decisions.

378
00:29:41.052 --> 00:29:43.440
If they are ready to revisit that,

379
00:29:43.440 --> 00:29:46.719
we are also ready for it, but we need guarantees.

380
00:29:46.719 --> 00:29:49.408
We are no longer able or willing to sustain losses.

381
00:29:49.408 --> 00:29:52.992
Our companies cannot and will not sustain losses 

382
00:29:52.992 --> 00:29:55.113
for ill-considered decisions.

383
00:29:55.113 --> 00:29:58.374
If we move together down this path,

384
00:29:58.374 --> 00:30:01.043
including in dialogue with Brussels,

385
00:30:01.043 --> 00:30:04.842
then everyone will surely be happy,

386
00:30:04.842 --> 00:30:08.697
and this will benefit the development of both bilateral relations 

387
00:30:08.697 --> 00:30:11.621
and the energy security of the continent as a whole.

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00:30:11.621 --> 00:30:13.480
Thank you.

