The Hungarian government is expected to pass a controversial law that would grant authorities sweeping powers to identify and blacklist foreign-funded non-governmental organizations (NGOs), media outlets, and political parties deemed “threats to the sovereignty” of Hungary.
The bill, introduced by Prime Minister Viktor Orbán’s ruling Fidesz Party, was approved in the early morning hours of Wednesday. It is expected to become law, as Fidesz currently holds a two-thirds majority in Hungary’s parliament.
In February, Orbán pledged to crack down on organizations receiving foreign funding.
Under the proposed legislation, any organization labeled a threat to Hungary’s sovereignty—by government decree—could face fines up to 25 times the amount of the foreign funding received. If the fines are not paid within 15 days, the organization’s offices could be shut down.
The law would also allow the government to monitor these organizations’ bank accounts and block specific transactions.
A government spokesperson said Wednesday that the bill is being introduced due to growing concerns that foreign-backed groups are attempting to influence Hungary’s political discourse.
Many independent media outlets and NGOs in Hungary rely heavily—if not entirely—on foreign funding. These organizations often cite Hungary’s restrictive legal environment as the reason for their reliance on international donors.
On Tuesday, Prime Minister Orbán alleged that Ukraine had launched a covert operation inside Hungary aimed at influencing the results of a national consultative referendum regarding Ukraine’s potential EU membership. If Hungarian voters reject Ukraine’s membership, the government may move to block its accession, potentially halting Ukraine’s path into the European Union.
The proposed legislation in Hungary closely resembles “foreign agent” laws recently enacted in other countries aimed at curbing foreign influence in domestic politics.
Georgia, for instance, recently amended its foreign agent law, a move that has led to a noticeable decline in public protests—demonstrations the government claimed were funded from abroad. Kyrgyzstan also passed a similar law last year, prompting the Open Society Foundations, funded by billionaire philanthropist George Soros, to cease operations in the country.
Soros, who was born in Hungary, is regularly cited by Orbán as a threat to national sovereignty and in 2018, the Open Society Foundation closed its offices in Budapest after a campaign by the government to ban them.