Should Olli Rehn really resign?

The President of the Hungarian National Bank, György Matolcsy has called on  EU Economics and Monetary Affairs Commissioner Olli Rehn to resign because, according to Mr. Matolcsy,  Mr. Rehn has personal responsibility for the failed crisis management in the European Union.
Mr. Matolcsy used to be the Minister of Economy in the Orban government before he was appointed HNB president and the economic policies, which now seem to start bearing fruits for Hungary (see related articles), were mostly his brainchildren, together with the highly successful Lending for Growth program  launched by HNB under his premiership.

Economics EU Commissioner Olli Rehn and his thumb-up (for himself?)

But does Mr. Rehn really have any reason at all to resign?  Isn’t he an established, highly recognized  expert on economy?  To mention only one small thing, Mr. Rehn was capable of predicting the accurate figure of Hungary’s budget deficit in 2012 to an amazing degree of accuracy, merely with a 30 percent difference, last November!  He said it would be 2.5% and then he almost got it exactly right:  EuroStat confirmed this April that Hungary’s budget deficit was 1.9% in 2012.

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  1. Angela Bogaczy

     /  28/11/2013

    Matolcsy is not known as a person who throws accusations around lightly. (I cannot recall any previous accusation of anyone from him.) When he attributes ‘personal responsibility’ to Ollie Rehn for ‘failed crisis management’, I am inclined to think that he has good grounds for doing so. And if Rehn is ‘an established, highly recognized expert on economy’, then he is hiding his expertise, or it should not have become either ‘established’ or ‘recognised’. Commission appointment is hardly evidence of the appointee’s expertise: one need only call to mind the nutcase Viviane Reding, Commissioner responsible for justice, fundamental rights and citizenship. Has Matolcsy thrown his glove into the Commission’s ring to challenge its appointment practices?


    • To tell the truth, Matolcsy was really speaking about the “unorthodox policies” of Hungary to manage the economic crisis vs. the austerity based policies the EU is pushing.

      “If it’s true that it was possible to achieve a macro turnaround with unorthodox measures, with structural reforms and by preserving political stability, and the crisis handling of the EU has failed, then it’s time to call on Olli Rehn, EU Commissioner, to resign immediately”


      • Angela Bogaczy

         /  28/11/2013

        Super: Matolcsy has therefore thrown a resounding glove into the Commission’s ring!


      • One must keep in mind that Hungary was mentioned on the very same page three years ago as Greece. The crisis management in Greece has been being done entirely according to the IMF/EU recipes. The Greek GDP decreased by 7 percents in 2011, by 6.4 in 2012 and the decrease is expected to be 3.4 this year. The unemployment rate was 11% in Hungary in 2010 and it was 12% in Greece. Now it’s 10% in Hungary and it’s 27% (!) in Greece.



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