Hungary’s Struggle Against Organized Crime: Key Challenges

Corruption and Governance Issues

Corruption is a significant challenge in Hungary, with several government leaders accused of corrupt practices. The government has implemented measures that have decreased transparency and accountability.

Rampant corruption: Corruption is widespread in the political system, compromising the country’s ability to effectively combat organized crime.
Weak governance: Measures aimed at increasing transparency and accountability have had the opposite effect, further eroding trust in the government.

Judicial System Vulnerabilities

The judicial system in Hungary is at moderate risk for corruption, with instances of bribery and irregular payments in return for favorable judgments. The government’s weakening of the judiciary and the Constitutional Court has raised concerns about independence.

Judicial corruption: Bribes and irregular payments can influence court decisions, undermining the integrity of the justice system.
Judicial independence: Concerns have been raised about the government’s efforts to undermine the independence of the judiciary.

Law Enforcement Efforts

Law enforcement agencies in Hungary have dedicated units to combat organized crime, but more needs to be done to effectively address the challenges posed by these groups.

Dedicated units: Specialized units are in place to tackle organized crime, but their effectiveness is hindered by inadequate resources and support.
Intensified efforts: Greater investment and coordination are needed to ensure law enforcement agencies can effectively confront organized crime.

Cybersecurity and Financial Risks

Hungary’s cybersecurity capabilities are moderately equipped to withstand cyber-attacks, with a special service managing incidents and controlling rights. However, the country remains at medium risk of money laundering and terrorist financing due to inadequate use of financial intelligence by law enforcement.

Cybersecurity: Hungary has measures in place to manage cybersecurity incidents, but more can be done to strengthen its defenses.
Financial risks: The country’s lack of effective use of financial intelligence increases the risk of money laundering and terrorist financing.

Informal Economy and Corruption

Hungary’s sizable informal economy lacks transparency and predictability, making it difficult for businesses to invest. Corruption is a significant risk to businesses, particularly in the tax administration and public procurement sectors.

Informal economy: The country’s informal economy hinders investment and economic growth due to its lack of transparency.
Corruption in business: Businesses face significant risks due to corruption, particularly in the tax administration and public procurement sectors.

Victim Assistance and Human Rights

Victim assistance services are scarce, uncoordinated, and inadequate, exposing victims to the risk of re-victimization. The country’s measures to prevent organized crime have stagnated in recent years, with a lack of transparency and resources devoted to regulating foreign-national labor recruitment having a negative influence on the effectiveness of assistance provided for male victims of labor trafficking.

Victim support: Victims are often left without adequate support or protection due to the scarcity and poor coordination of services.
Human rights concerns: The country’s efforts to combat organized crime have raised concerns about human rights, particularly in relation to foreign-national labor recruitment.