Key facts
- Hungary's 20 August state celebrations will feature fireworks, but with a drastically reduced budget.
- The previous contracts with the Lounge group, totaling 17.5 billion forints (€48.6m), were terminated.
- The new contract is estimated to cost under 4 billion forints (€11.1m).
- Critics argue the fireworks are wasteful, environmentally damaging, and that funds could be better used for drought protection.
- A petition supporting the reallocation of fireworks funds for drought defense has gathered over 230,000 signatures.
Hungary's annual 20 August state celebrations are embroiled in controversy over the use of public funds and environmental impact, particularly concerning the traditional fireworks display. The situation escalated when the National Event Organising Agency terminated existing contracts with the Lounge group, owned by Gyula Balásy, due to the conglomerate's financial difficulties, including frozen bank accounts.
Previously, the Lounge group was responsible for organizing the entire St Stephen's Day program series, with contracts worth approximately 17.5 billion forints (€48.6 million) for fireworks and related events. The state has now initiated a new procurement process, with the Budapest-based Hardrock Szolgáltató emerging as the sole bidder and likely recipient of the contract. Current estimates suggest the reorganized event series will cost under 4 billion forints (€11.1 million), a substantial reduction from previous years, though with a simplified program.
Critics, including Budapest Mayor Gergely Karácsony and the civil organization aHang, argue that the fireworks are wasteful and environmentally harmful. They advocate for reallocating the funds towards drought protection measures, especially given the country's current water scarcity issues. A petition launched by aHang supporting this initiative has garnered over 230,000 signatures, highlighting significant public opposition to the extravagant spending on fireworks.