A proposed bill introduced by a member of Hungary’s ruling Fidesz party poses a grave threat to civil society, free expression, and democratic governance, according to Human Rights Watch (HRW).
The legislation, titled On the Transparency of Public Life, seeks to establish a government-appointed body—the Sovereignty Protection Office—with broad authority to monitor and penalize organisations receiving foreign funding. This includes media outlets and civil society groups, even those supported by the European Union.
Should the bill pass, such organisations could be designated as threats to national sovereignty, placed on a state-maintained watchlist, and subjected to severe restrictions. These include the loss of eligibility to receive donations via Hungary’s 1% income tax designation scheme—a critical source of funding—and the obligation to submit legal declarations for every donation affirming the absence of foreign influence. Moreover, any foreign funding would require pre-approval from the national anti-money laundering authority, with existing grants subject to freezing and protracted review.
“The Hungarian government is intensifying its efforts to suppress dissent and dismantle independent civil society ahead of next year’s elections,” said Hugh Williamson, Director for Europe and Central Asia at HRW. “The European Union must confront this growing threat to the rule of law decisively, before democracy is extinguished.”
This proposed law marks yet another step in the Hungarian government’s systematic dismantling of democratic institutions. Since assuming power in 2010, Prime Minister Viktor Orbán has leveraged his parliamentary supermajority to steadily erode checks and balances within the state.