SOVIET POLICY CHANGES REFLECTED IN HUNGARY

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP91T01172R000300050032-0
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 3
• Document Creation Date: December 20, 2016
• Document Release Date: March 1, 2006
• Sequence Number: 32
• Publication Date: March 17, 1955
• Content Type: MEMO

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OCI No. 0095/55 CENTRAL INTELLIGENCE AGENCY
Copy No. OFFICE OF CURRENT INTELLIGENCE
3 5 17 March 1955
TO Deputy Director (Intelligence)
SUBJECT: Soviet Policy Changes Reflected in Hungary
The Hungarian Workers' Party central committee resolution
published on 8 March, which redefines Hungary's political and
economic policies, reflects recent changes in Moscow, but in a
more extreme form. Unlike public statements in the Soviet
Union, it stresses the necessity for re-establishing the "unity
of the party." Since the new Hungarian line was probably
approved in Moscow in mid-January, it may serve to cast addi- 25X1
tional light on the nature and direction of future Soviet de-
velopments.
The central thesis of the March central committee resolution
was that the unity and discipline of the party must be restored
and new course liberalism restricted. The basic precepts of the
June 1953 announcements and the May 1954 party congress were re-
endorsed, but as in the case of the Soviet Union the execution
of these general policies is to be more in keeping with orthodox
Marxism-Leninism-Stalinism, with a greater stress on heavy in-
dustry, socialization, and the defensive posture of the country.
It specifically sets forth the following problems and directives
for action:
1. Liquidation of right-wing anti-Marxist deviationists:
This deviation as is orte t e party's correct ecisions o
June 1953 and has been responsible for the shortcomings of the
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economy, At the same time the party must fight against "left-
wing extremists and those who violate state legality,"
2. Expansion of heavy industry: The second five-year plan,
beginning in 1956, will emphasize heavy industry, particularly
the manufacture of the means of production, and agricultural
equipment. Any further improvement in the working people's
living standard must result from a steady increase in production
and labor productivity and a lowering of production costs.
3. National defense: "The growing tension in the inter-
national situation" requires greater emphasis on defense, which
would not be possible without a constant development of heavy
industry,
4. Formation of new co-operatives: The need to utilize the
production of individual peasant arms is recognized but the
necessity of forming new agricultural co-operatives and the re-
cruitment of new members during 1955 "on the basis of the Leninist
principle of voluntary affiliation" is stressed,
5. Policy towards industrial workers and peasants: Nagy
erroneously denied the need for the party to depend for its sup-
port primarily on the industrial working class. Among the
peasants, the main reliance must be placed on the poor peasantry,
but the party must continue to work to gain the support of the
medium peasantry and to fight against the kulaks,
6. Leading role of the party: Strong rightist views have
undermined the par y s supremacy in the Patriotic People's Front
and various mass organizations. The party must direct and in-
spire the entire society and all mass organizations and control
their activity,
7. Limits of Communist criticism: Rightist elements are
attacked for Hurting Party prestige and influence by exaggerat-
ing Communist criticism and self-criticism of Party policy and
leadership. The resolution calls for the continued development
.of constructive Communist criticism while guarding against the
irresponsible exercise of this function.
8. Manifestations of nationalism and chauvinism attacked:
"A merciless ideological battle must be waged against all mani-
festations" of excess of nationalism and chauvinism.
The zealous attacks on Nagy and the rightist deviation by
Hungarian party leaders and press since 8 March strengthen the
belief that party officials, particularly on a middle and lower
level, may go to extremes in implementing these directives.
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CONS
Stringent measures to restrict new course liberalism and
strengthen party discipline coupled with a renewed domestic
vigilance campaign, are certain to increase popular tension.
An extreme interpretation of the central committee resolutions
would probably sharpen the disaffection of the population, and
resistance, though still passive and unorganized, might become
more widespread. Such a, reaction would make it exceedingly
difficult to meet the regime's aim of strengthening the national
economy through increased production and labor productivity.
On 12 March; Rakosi, apparently alert to this danger, re-
stated his belief in the basic policies of June 1953 and warned
against the danger of extreme leftist deviation at this juncture.
The Hungarian attack on "rightist anti-Marxist deviationists,"
while it is similar to such denunciations in the Soviet Union, is
unique at this time in that it is more vehement and specifically
names the Hungarian premier. A number of personnel changes are
expected. However, the fact that Budapest Party Secretary Kovacs
said recently, in a speech endorsed by Rakosi, that the devia-
tionists are not to be treated as "enemies" indicates that dis-
ciplinary action may not be as severe as the resolutions sug-
gest. Some top leaders may be removed, but may be returned to
lesser posts. Kovacs' statement, however, does not seem to
include Nagy, who appears to be singled out as the scapegoat
and individual responsible for the promulgation of the dangerous
"rightist, opportunist, anti-Marxist" views in the party and
government apparatus.
HUNTINGTON D. SHELDON
Assistant Director
Current Intelligence
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