Hungary's prime minister says the European Union must abandon its policy of sanctioning Russia for its war in Ukraine or risk causing an economic collapse.

BUDAPEST (Reuters) - The European Union needs to reconsider sanctions against Russia as they are keeping energy prices elevated, hindering the bloc's economic competitiveness, Hungarian Prime Minister Viktor Orban said on Friday. European Union leaders signed a declaration on competitiveness at their informal summit last week.

After Donald Trump's reelection, European leaders wrapped up a two-day summit pledging to transform the bloc's economy. Host Viktor Orban also urged EU leaders to pursue 'peace' in Ukraine.

The European Union must abandon its policy of sanctioning Russia for its war in Ukraine or risk causing an economic collapse, Hungarian Prime Minister Viktor Orban told state radio on Friday.

Hungary’s Prime Minister Viktor Orbán has raised concerns about the European Union’s policy of sanctioning Russia. He argues that these sanctions could lead to an economic disaster for the EU, while having little effect on Russia’s economy.

The European Union needs to reconsider its sanctions against Russia, as they are keeping energy prices high and undermining the bloc's economic competitiveness, according to Hungarian Prime Minister Viktor Orbán.