(04 October 2017) – Today, the European Commission issued a reasoned opinion – the second step in the infringement procedure – to Hungary for its law on foreign-funded NGOs.
The Commission had decided to start legal proceedings against Hungary for failing to fulfil its obligations under the Treaty provisions on the free movement of capital, due to provisions in the NGO Law which indirectly discriminate and disproportionately restrict donations from abroad to civil society organisations.
In addition to these concerns, the Commission is also of the opinion that Hungary violates the right to freedom of association and the right to protection of private life and personal data.
The Hungarian law on foreign-funded NGOs, adopted on 13 June, introduced new obligations for certain categories of NGOs receiving annual foreign funding above HUF7.2 million (approx. €24,000) to register and label themselves in all their publications, websites and press material as “organisations supported from abroad”.
Such NGOs are also required to report specific information about the funding they receive from abroad to the Hungarian authorities.