Hungary to build Budapest campus of Chinese university with Chinese loan

Fudan University is one of the most selective universities in China. About 45,000 students are enrolled in its four campuses spread over Shanghai. [Shutterstock/EQRoy]

The Hungarian government is planning to build a Budapest campus of the Chinese Fudan University with Chinese contractors, financed by a €1.25 billion loan from China, it emerged this month. The controversial project has sparked a row between the Hungarian government and the municipality of Budapest. EURACTIV’s media partner Telex takes a closer look.

An issue of national security

First and foremost, the Budapest campus of Fudan could be considered a national security risk. An investigative piece by Direkt36 revealed the university’s close ties with Chinese intelligence services; at the Chinese campus, Fudan launched its own spy school in 2011.

It is also considered the elite school of the Chinese Communist Party, with at least a quarter of its students being members.

Even though members of the Hungarian Parliament’s National Security Committee tried to question the government about this, they received no answers; nobody knows who negotiated about the cooperation and whether those people went through a national security screening or why the entire project is so opaque.

Members of the Hungarian opposition noted that the Hungarian campus of the Fudan university could pose a risk not only to Hungary but to the EU and NATO as well, and the fact that the campus will also train diplomats is especially worrying.

Péter Szijjártó, the Hungarian Minister of Foreign Affairs, said that Fudan is one of the largest universities in the world; therefore, it would be “silly to miss this opportunity.”

This is considered a controversial statement by many, given that the Hungarian government used targeted legislation to force another foreign university, the Central European University (CEU), to leave the country, even though it was, similarly to Fudan, regarded as a prestigious institution.

Hungary breached obligations to uphold academic freedom, EU top court ruled

The European Court of Justice (ECJ) struck down on Tuesday (6 October) the Hungarian education law that had pushed the university funded by American billionaire George Soros to move out of Budapest. The court said this ran contrary to the principle of academic freedom as well as the freedom to conduct business and provide services.

Szijjártó did not divulge why he thinks the university controlled by the Chinese Communist Party is any better than the CEU. However, he stressed that training foreign diplomats in Hungary does not constitute any danger, adding that opponents of the Budapest campus are merely trying to sow mistrust in knowledge arriving from the East.

Student City vs Fudan University

The other issue that the proposed location of the campus is precisely where the so-called “Student City,” a whole new quarter of Budapest intended to house thousands of students, was planned to be built.

The Student City was a government plan agreed to by the Municipality of Budapest, with both parties acknowledging the modern plans drawn up by the Norwegian architectural firm Snøhetta.

However, the almost idyllic concord between the government and Budapest was severely upset by the news of the Fudan University moving to the area, outraging Budapest Mayor Gergely Karácsony.

He said there is no way he would agree to Chinese corporations building concrete giants from a Chinese loan to a place meant to solve Hungarian students’ housing problems. The mayor alluded that he is ready to cancel the plans for the Athletics Stadium and threatened to withdraw the capital from the 2023 World Athletics Championships. The Mayor of the IX. district suggested a local referendum to settle the matter.

Hungary’s government-mayor row over Chinese university heats up

Budapest’s green opposition mayor Gergely Karácsony threatened on Monday to cancel the 2023 World Athletics Championships to be held in the capital if the government decides to build a Chinese university campus instead of a planned Student City project.

The …

In response to Karácsony’s statement, the prime minister’s chief of staff, Gergely Gulyás, said that the mayor’s anger was in vain as plans for the Student City remain unchanged. The government plans for the Fudan University “do not go against the Student City project, quite the opposite: Fudan gives the project its raison d’etre,” he said.

Balázs Fürjes, the undersecretary responsible for the development of Budapest and the surrounding areas, also denied that the decision would hinder the Student City project.

Karácsony commented that while the government appears to be backing down, he thinks they are merely bluffing about the priority of the Student City project. He published a map of the project he received from the government back in January that shows that the proposed location of the Fudan campus is where the student flats and the Student City offices were meant to be built.

The government’s mind is made up

The government’s relentlessness is well illustrated by the ministry proposal, which stipulates that the “development can only be executed as an exclusively Chinese project,” and the legislation must reach a point where the “investment process can no longer be stopped.”

The Fudan University campus would be built by a pre-approved Chinese construction firm, with Chinese workers and a €1.25 billion (HUF 450 billion) Chinese loan.

The Hungarian government had already pledged about €2.3 million for supporting real estate purchases by the Fudan University.

Another twist in the story is that Orbán has recently appointed László Palkovics to head the Student City and the Fudan campus project. Palkovics, the minister for innovation and technology, is known to do the heavy lifting in the Hungarian government’s higher education goals, involved with the controversial model change of several Hungarian universities.

Universities stage ‘infostrike’ amid fears of losing autonomy

Eight Hungarian universities will stage an “infostrike” this week to protest the government-backed transfer to a foundation management model. The insitiutions plan to hold lectures and workshops about university autonomy.

Earlier this year, the government pushed through a change in the …

In an earlier interview, Palkovics said that he is already used to “taking the flak” for government decisions.”

[Edited by Josie Le Blond]

Subscribe to our newsletters