VZCZCXRO4498
OO RUEHDBU RUEHFL RUEHKW RUEHLA RUEHROV RUEHSR
DE RUEHUP #2045/01 2831416
ZNY CCCCC ZZH
O 101416Z OCT 06
FM AMEMBASSY BUDAPEST
TO RUEHC/SECSTATE WASHDC IMMEDIATE 0149
INFO RUEHZL/EUROPEAN POLITICAL COLLECTIVE PRIORITY

C O N F I D E N T I A L SECTION 01 OF 02 BUDAPEST 002045 
 
SIPDIS 
 
SIPDIS 
 
DEPARTMENT PLEASE PASS TO NSC - DAMON WILSON 
 
E.O. 12958: DECL: 10/04/2011 
TAGS: PGOV KDEM HU
SUBJECT: HUNGARIAN CONFIDENCE VOTE: GYURCSANY'S MAJORITY 
HOLDS 
 
REF: BUDAPEST 2027 AND PREVIOUS 
 
Classified By: POL/C Eric V. Gaudiosi; Reasons 1.4 (b) and (d) 
 
¶1. (C) Summary: The Hungarian parliament affirmed its 
confidence in Prime Minister Gyurcsany by a 207 - 165 margin 
following short and often sharp debate in an extraordinary 
session October 6.  Speakers from the governing coalition 
including the PM emphasized their willingness to confront a 
legacy of political and irresponsibility, affirming their 
intention to undertake critical reforms.  They also focused 
attention on the underlying issue: the opposition's 
willingness to "blackmail" Hungary for its own political 
ends.  Markets responded positively to the confidence vote. 
FIDESZ has responded by calling for daily peaceful 
demonstrations against the government in front of Parliament. 
 End Summary. 
 
Gyurcsany: An Apology and a Challenge 
 
¶2. (U) Opening the session with a nearly 40-minute speech, a 
composed Prime Minister framed the choice now before Hungary 
as one between peace and chaos.  He issued an apology for the 
wording of his comments on the "Gyurcsany tape" but not for 
his words.  After "sixteen years" of "lying to ourselves that 
our problems would solve themselves," he expressed pride in 
his government's commitment to finally confront "a system of 
self-delusion."  Hungary can no longer delay its day of 
reckoning, and the government's responsibility is to help the 
nation bear "the price of freedom." 
 
¶3.  (U)  The Prime Minister acknowledged "too much confidence 
and too much speed" in pursuing reforms, pledging to move 
forward in keeping with "the nation's stamina."  Referring to 
recent reports re a FIDESZ austerity package, Gyurcsany 
asserted that the governing coalition "is the only party with 
a realistic plan." 
 
¶3.  (U) Gyurcsany also expressed his regret that his comments 
had provided the opposition with the pretext to pursue its 
"desire for power."  Confronting FIDESZ leader Orban openly, 
he noted that "democracy must defend itself" from challenges 
to the constitution and called on the parliament to reject 
the ultimata of "the vocal minority."   "Street action is not 
order," he concluded, "and Parliament must not surrender." 
Concluding to loud applause from coalition MPs, Gyurcsany 
emphasized that the nation needs "peace and tranquillity," he 
concluded, and for that the government must have strong 
mandate. 
 
¶4.  (U) MSZP parliamentary faction leader Ildiko Lendvai 
continued the coalition's counterattack.  Casting the debate 
as a question of "progress versus fear," she derided FIDESZ's 
claims to stand for law and order as well as reform.  "FIDESZ 
is telling the nation it will put away its nationalist 
banners if we surrender and give them what they want," she 
commented, "and then they'll go back to drawing up lists of 
Jewish politicians."  "Orban," she continued, "cannot bring 
people back from the streets because he is too far gone 
himself."  The government's role and its responsibility, she 
reiterated, is "to listen and to lead" Hungary into the 
future. 
 
FIDESZ Response 
 
¶5.  (U) Speaking for FIDESZ, parliamentary faction leader 
Tibor Navracsics stood in the aisle and asked if the 
coalition had "nothing save fear-mongering and attacks on 
Viktor Orban?"  He reiterated the party's claim that 
Gyurcsany had won the April elections "on false pretenses and 
false information," arguing that Gyurcsany had "not confessed 
but been caught" in a "spiral of lies."  Quoting an adage 
from Hungary's transition from Communism to reiterate the 
party's call for Gyurcsany's resignation, he warned that "a 
communist dog will never give democratic bacon." 
 
Coalition Partners Line Up: Left, Right, and Center 
 
¶6.  (U) Following Navracsics' comments, SZDSZ leader Gabor 
Kuncze took the podium and commented "we've had 80 minutes of 
debate and I've yet to hear a constructive plan from FIDESZ." 
 The issue before parliament, he charged, is whether Hungary 
will be ruled by parliamentary democracy or by those in the 
street who believe "FIDESZ's mountain of lies."  "I don't 
want to blame Viktor Orban," Kuncze continued, "but I have no 
reason to praise him."  If Orban wishes to lead the street, 
Kuncze challenged, "he should resign from parliament." 
 
¶7.  (U) Kuncze's comments were followed by remarks by Zsolt 
Semjen of the KDNP (FIDESZ's junior coalition partner). 
 
BUDAPEST 00002045  002 OF 002 
 
 
Semjen charged that Gyurcsany's "socialist millionaires" 
would continue to plunder Hungary through the privatization 
process, but his remarks did little to take the momentum away 
from the governing coalition.  His assertion that "Viktor 
Orban does not want power," for example, was met by loud 
laughter from the floor and the gallery. 
 
¶8.  (U) MDF Leader Ibolya David concluded the parties' formal 
remarks.  Noting October 6 as day of mourning for the heroes 
of the 1848 Revolution, she commented that "today we hang our 
heads in sorrow and in shame" at the current state of 
affairs.  She called on all parties to work together in 
Parliament to "stop waging war on the future" because 
"disunity is a luxury we cannot afford."  She announced her 
party's intention to vote against the Prime Minister for 
having "lost credibility by misleading the Hungarian people" 
but underscored her commitment to reform and her rejection of 
extra-constitutional tactics. 
 
The Winner Is ... 
 
¶9.  (U) After brief remarks by individual members, the 
Parliament voted by open voice call.  The announcement of the 
government's 207 - 165 victory was met with prolonged 
applause by the coalition. 
 
¶10.  (U) The results of the vote largely confirmed market 
expectations, with a rapid strengthening of the forint and 
flash analysis from multiple rating agencies suggesting 
deepening confidence in the government.  Major financial 
community analysts have suggested this week that they are 
most interested in seeing concrete implementation of 
government reforms, but welcome the positive confidence vote 
as confirmation of movement in that direction. 
 
¶11.  (C) Comment: The coalition succeeded not only in holding 
firm but also in taking the offensive.  In their strong and 
coordinated comments, Gyurcsany, Lendvai, and Kuncze clearly 
sought to focus the debate on the future rather than the 
past.  Moreover, they effectively highlighted the critical 
distinction between the government and the opposition: the 
willingness to pursue their goals through the system rather 
than the streets.  As Gyurcsany noted, "Gyurcsany or Orban is 
not the question, it is the consequence" of these broader and 
deeper questions. 
 
¶12.  (U) Comment Continued: Although Orban did not speak 
during the debate, he did address a large crowd in front of 
parliament following the vote.  Although crowds variously 
estimated between 50,000 and 300,000 were expected, embassy 
personnel on the scene report that Orban asked those present 
to return every night between 5:00 and 6:00 to peacefully 
protest against the Gyurscany government.  End Comment. 
 
 
FOLEY