EU Warns Hungary Over Simplified Visa Scheme for Russians

(Bloomberg) -- The European Union said it needs to determine whether Hungary’s decision to ease work visa rules for Russians and Belarusians contravenes the bloc’s sanctions on Russia and puts its security at risk.

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Ylva Johansson, the EU’s home affairs commissioner, wrote a letter to Hungary on Thursday saying she shared concerns expressed by several member states — including Estonia, Latvia and Lithuania — that Budapest is undermining the Schengen Area, the customs-free zone that covers most of the bloc.

At stake is the fast-track ‘National Card’ which Budapest introduced in January and is simpler to obtain than a regular work visa and allows travel across the Schengen area. In July, Hungary expanded the scheme to Russians and Belarusians.

Johansson asked Hungarian Interior Minister Sandor Pinter for a full response from Hungary by Aug. 19 to “allow the commission to ascertain whether the ‘National’ Card’ scheme for Russian and Belarusian nationals is compatible with EU law and/or whether it puts the overall functioning of the area without internal borders at risk, so to draw the appropriate consequences.”

The three Baltic nations have been the most vocal critics of the move, prompting Hungarian Foreign Minister Peter Szijjarto to complain about their “campaign of lies against Hungary.”

Hungary’s decision has angered EU members at a time of heightened concern over Russian espionage and sabotage across the continent. Prime Minister Viktor Orban’s close ties to Moscow have also infuriated the rest of the bloc.

Manfred Weber, who chairs the European People’s Party, also wrote a letter on July 29 to European Council President Charles Michel to urge the body to “seriously address” the situation and schedule a debate on the topic at the next leaders’ summit.

Baltic politicians have gone further, suggesting that Hungary should be suspended from the Schengen area.

“This is dangerous” Latvian President Edgars Rinkevics told the country’s public broadcaster on Thursday. Rinkevics said that Latvia and its allies could consider working toward restricting Hungary’s membership in Schengen, but that he doubted there would be unity among member states on the issue.

“Hungary’s policy of bringing in workers from Russia and Belarus is a security risk for Schengen member states,” Estonian Foreign Minister Margus Tsahkna told local newspaper Postimees. There are several possible solutions, he said: “One is to establish total border checks around Hungary.”

Hungary has defended the visa scheme, saying that EU member states have the prerogative to change visa rules.

Zsolt Szekeres, a senior legal officer at the Hungarian Helsinki Committee, a Budapest-based rights organization, also pointed to a counterintuitive consequence of the scheme given Hungary’s pro-Russian stance.

“There are several Russian and Belarusian citizens who are afraid to return home because they’ve stood up against the Putin regime. There are situations in which this laxer visa policy can be a lifebuoy for those who would be persecuted in their home countries,” he said in comments over the phone.

Nevertheless, Hungary’s critics in the Baltics and Brussels say that their concern is based on concrete precedents. For example, Hungary did not formally expel any Russian diplomats following Moscow’s full-scale invasion of Ukraine in 2022, leaving more than 40 Russian officials in the country, according to a foreign ministry database.

The Budapest headquarters of Russian-led International Investment Bank closed last year when the US imposed sanctions, saying that the bank’s presence allowed Moscow to spy and conduct “malign influence activities” from within the EU.

Nevertheless, several Russian companies continue to operate in Hungary including Rosatom Corp, which is set to work on Hungary’s new nuclear power plant reactors in Paks, while Russian retailer Mere is due to open its first stores in the coming months.

--With assistance from Milda Seputyte, Ott Tammik, Piotr Skolimowski, Kevin Whitelaw and Aaron Eglitis.

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