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Musical Billions

Some research findings suggest that the 1989 regime change in Hungary did not fully meet the social expectations attached to it. The results of privatisation and the emergence of a new political and economic elite failed to create the framework needed for a productive and happy society. The data support this conclusion.

During the transformation process, the functioning of many sectors was damaged. The economy and the survival of industries became increasingly dependent on political influence. From 2010 onwards, the process of state centralisation accelerated dramatically. In particular, the creative industries, including the arts, lost much of their independence. Many analysts describe Hungary as experiencing “state capture” — a term referring to the domination of state institutions by private interests — which has increasingly shaped Hungarian society.

In 2026, Hungarian society voted for change and for the removal of the ruling power elite. This also created an opportunity for the arts to renew. Above all, however, society must confront the outgoing government’s legacy. We knew that the outgoing political elite distributed billions to loyal artists, cultural agencies, and music talent programmes. The power structure developed its own system of values and promoted performers who ranked lower in market competition. To justify all this, it also created an institutional system centred around selected artists. It is also disappointing that it managed to attract internationally acclaimed performers to serve its goals. The power of money often undermined the moral standing of artists celebrated on the world’s stages. The distribution of public funds by government actors was based on a neo-feudalist attitude. The framework for the operation of art and science was tightly controlled, and the participants were carefully selected. The nationalisation of artistic production became common practice.

Let us move beyond the fact that the logic of market competition has gradually disappeared from the Hungarian cultural sector over the past 16 years. Let us also move beyond the fact that the chosen few have enriched themselves by hundreds of billions of forints. Moreover, let us move beyond the fact that the anointed artistic elite has legitimised the operation of the Hungarian National Cultural Fund (NKA) — a major institution responsible for allocating public support to arts and culture in Hungary — and the selection of institutional leaders. But what has all this caused in Hungarian society? This cannot simply be overcome. It must not be forgotten.

 

Andreas Z. Magony