Speculation is rising in the Hungarian media that Russia may be seeking to pull out of its agreement to lend Hungary €10bn to power the expansion of the Paks nuclear plant. When two years ago Budapest handed Russia the €12.5bn contract to expand Paks, Hungary’s only nuclear power plant, the government claimed that Moscow promised such advantageous financing that no market participant could compete. Thus, the cost of the extension is likely to increase should Hungary need to look for an alternative funding, while it is questionable how keen Western banks may be to finance a project by Russian state nuclear agency Rosatom that has faced intense EU scrutiny and while Russia remains under sanctions.
Intellinews 26th May 2016 read more »