Draft law in Hungary risks silencing civil society 

Civil Rights Defenders is deeply alarmed by a new legislative proposal in Hungary that, if passed, would institutionalise sweeping, opaque, and politically motivated repression of independent civil society, the press, and private organisations that receive foreign support or have any kind of income that the Hungarian government feels would threaten the country’s sovereignty. 

The draft law, which is deceptively titled ‘On the Transparency of Public Life’, would give the authorities unchecked powers, allowing it to recommend the registration of organisations deemed to be ‘influencing public life’ with foreign funding in ways that ‘threaten Hungary’s sovereignty’. Because this phrasing is vague and ideologically loaded, it risks including any kind of criticism of government policy, including the promotion of human rights, press freedom, gender equality, and the rule of law. 

Potential disastrous consequences

Civil Rights Defenders is particularly concerned about the following aspects of the proposal: 

• No legal remedy: If the government demands an organisation register itself, the organisation in question would not be able to appeal this decision. Once listed, organisations would have no access to effective legal redress; 

• Broad definitions: ‘Foreign support’ is defined as any financial input, no matter how small, from practically any international source (including EU institutions and dual citizens) as well as commercial revenue; 

• Sweeping prohibitions and sanctions: Listed organisations would have to seek permission from the tax authorities to receive foreign support. Financial institutions would be required to report and block transfers, meaning NGOs would effectively be permanently monitored; 

• Loss of domestic support: Listed organisations would lose access to Hungary’s 1% income tax donation scheme, which would prevent them from receiving support from regular Hungarian citizens; 

• Political targeting: Leaders of registered organisations would be labelled ‘politically exposed persons’, which would expose their private financial transactions to invasive scrutiny; 

• Severe penalties: Any violations could lead to fines of up to 25 times the amount received, suspension of the organisation’s advocacy activities, and even forced closure.

EU must speak out against proposed law

Hungary’s draft law is not about transparency: it is a calculated attempt to criminalise dissent, silence watchdogs, and entrench one-party control over the democratic public sphere and civic space. If passed, the law would violate multiple provisions of the EU Charter of Fundamental Rights and the European Convention on Human Rights, including freedom of expression and association and the right to an effective remedy. 

Civil Rights Defenders calls on European decision-makers to support democracy in Hungary and stand with free civil society and the independent press. We urge the European Union and the international community to take decisive action against this authoritarian proposal. Civil society is not a threat to sovereignty – it is a safeguard of democracy.