Hungary shifts satellite project from state control to 4iG

Investigations have revealed internal friction within the Fidesz government regarding the development of a Hungarian satellite system. Originally, a plan was developed by Orsolya Ferencz at the Ministry of Foreign Affairs and Trade to create a state-managed system for both civilian and military use, estimated to cost approximately 250 billion forints.

However, Prime Minister Viktor Orbán reportedly shifted the project to 4iG, a company with close ties to the government, despite the original proposal for state control. The Ministry of National Economy subsequently signed contracts with 4iG totaling roughly €2.36 billion (850 billion forints) for satellite services over 15 years. This transition included moving oversight of space development from the foreign ministry to the Ministry of National Economy.

Separately, regarding defense financing, Defense Minister Romulus Ruszin-Szendi stated that Hungary is currently declining the use of the EU’s SAFE (Security Action for Europe) loan program. While the program offers billions in credit for defense investments, the minister noted that the government must avoid excessive debt to protect the national economy, prioritizing spending in healthcare, social services, and education instead.