Financial Times FT.com

Splits threaten to undermine success

By Stefan Wagstyl and Thomas Escritt

Published: October 25 2007 06:32 | Last updated: October 25 2007 06:32

Once a star performer among the European Union’s new members, today, Hungary is disturbed by doubts about its political stability, social cohesion and economy.

The country, which prided itself on preparing faster for EU enlargement than the other nine states that joined in 2004, is worried about its ability to meet the challenges that have emerged since accession: modernising a bloated welfare state, responding to economic globalisation and healing deep-rooted political divides dating from Communist times.

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