Hungary's Orban imposes price caps to combat inflation

Hungarian Prime Minister Viktor Orban is taking unusual actions to combat rising inflation in his country. He is known for his conservative views, which resonate with many in the U.S. However, he is now leaning towards price controls, a method often associated with central planning from the communist era. Orban recently ordered price limits on 30 basic food items. Hungary currently has the highest inflation rate in the European Union, which has led to growing support for a political rival. His actions aim to reduce prices, especially for essentials like eggs and butter. Starting this week, supermarkets in Hungary will be required to limit their prices to a maximum of 10 percent above wholesale costs. Orban criticized current markups, calling a 40 percent increase on eggs "unacceptable." He accused grocery stores, particularly large foreign companies, of price gouging and stated that “prices don’t rise, they are raised.” This decision highlights Orban's challenges in managing Hungary’s struggling economy, a key concern for many citizens. Despite previous praise from American conservatives, this move indicates a shift in his approach to economic issues.