Munich (dpa/lby) - Regardless of the ongoing political dispute between the EU and Hungary and Poland, both countries are now economically closely interwoven with Bavaria, according to a new study. An escalation of the dispute with the right-wing populist governments there could therefore have a negative economic impact on Bavaria and Germany as a whole. That's what the experts at the Prognos Institute write in the analysis published on Wednesday for the Association of Bavarian Business (vbw).
According to Prognos, around 80,000 jobs in Bavaria depend on demand from Poland, and another 40,000 on foreign trade with Hungary. According to this, Bavarian companies produce almost seven billion euros in gross value added in goods and services for the two countries. In addition, 66,900 Polish and 41,300 Hungarian workers were employed in Bavaria last year, and they play a major role in the construction industry in particular.
The EU's relations with Hungary and Poland have been suffering from ongoing conflicts for years, including over the independence of the judiciary. "An ongoing conflict with Poland and Hungary jeopardizes cooperation between the EU and these countries and could have a negative impact on prosperity in Poland, Hungary and Germany as well as in Bavaria," write the authors of the study.
In the opinion of vbw CEO Bertram Brossardt, the EU should not change its line and simply accept violations of basic values. "Especially in times of existential threats, which the Russian war of aggression represents, we must not endanger European unity through intra-European conflicts," said Brossardt. "We are very confident that Poland and Hungary will be aware of the benefits of their EU membership and the associated responsibilities of membership."
