Hungary default on cards over Brussels legal action

Eric Ninn
Prime Minister of Hungary Viktor Orban
Prime Minister of Hungary Viktor Orban

Hungary is teetering on the edge of a major sovereign default after the European Commission (EC) decided to withhold a new bail-out over its controversial constitutional reforms.

Analysts believe the EC has lost patience with Prime Minister Viktor Orban's administration over imposing draconian reforms that are diluting the freedom of the country's banking systems and judiciary.