Hungary to Continue Paying Euros for Russian Gas
Hungary will continue to pay for imports of Russian natural gas in euros, Foreign Minister Peter Szijjarto said, ending days of speculation that his nation may pay in rubles in a potential violation of the bloc’s sanctions.
Hungary’s state-owned MVM Zrt. will continue to wire euros to Gazprombank, which will then covert the sum to rubles, Szijjarto in a video posted on Facebook Monday. The solution presented by Szijjarto appears to be in line with what other EU members have said they planned to do to secure Russian gas supplies without directly wiring rubles.
Prime Minister Viktor Orban, the EU leader with the closest ties to Vladimir Putin, told reporters last week that he’d have “no problem” paying rubles for Russian gas, fueling speculation that Hungary may break EU unity over economic sanctions imposed on Russia for its war on Ukraine.
Putin initially demanded rubles for gas as a move against “unfriendly countries” in retaliation for sweeping Western sanctions. European officials rejected it, saying the move would violate contract terms.
The Kremlin has since published a presidential decree outlining the mechanism to allow foreign buyers to convert their dollars and euros into the Russian currency through a state-controlled bank.
