Politico: Germany and Hungary clash over listing of OTP Bank as war sponsor

Germany and Hungary clashed during a meeting of foreign ministers in Brussels over the role of the Hungarian bank OTP Bank in Russiaʼs war against Ukraine.

Politico writes about this with reference to four diplomats.

When Hungarian Foreign Minister Péter Szijjártó reiterated Budapestʼs position Monday during a closed-door meeting, German Foreign Minister Annalena Berbock contradicted him.

According to the diplomats, who spoke on condition of anonymity, she was referring to reports that OTP Bank recognizes the Russian-occupied territories of Luhansk and Donetsk regions in violation of international law and that it has opened credit lines for the Russian military.

Hungary and the bank itself rejected the accusations. The bank called these reports "incorrect" and claimed that the management of OTP "publicly expresses its support for Ukraine."

However, the exchange, which one diplomat described as "civilized and within a normal framework of discussion", came after other countries such as Sweden and Estonia also pressed Hungary during the meeting.

They argued that the EU should not delay further sanctions aimed at combating their circumvention and providing more military aid to Ukraine.

• Earlier, the National Agency for the Prevention of Corruption (NAPC) of Ukraine announced that it had included OTP Bank, the largest Hungarian bank, on the list of war sponsors due to the position of the bankʼs management, which seeks to continue operations in the Russian Federation. The NAPC maintains a list of sponsors of the war, but it has no status and does not lead to any legal consequences.
• After that, Hungary blocked the allocation of another €500 million tranche from the European Peace Fund. It finances to member states the cost of military equipment that they transfer to Ukraine.