A Hungarian far-right politician urged the government to draw up lists of Jews who pose a "national security risk", stirring outrage among Jewish leaders who saw echoes of fascist policies that led to the Holocaust, Reuters reported.

Marton Gyongyosi, leader of Hungary's third-strongest political party Jobbik, said the list was necessary because of heightened tensions following the brief conflict in Gaza and should include members of parliament.

Opponents have condemned frequent anti-Semitic slurs and tough rhetoric against the Roma minority by Gyongyosi's party as populist point scoring ahead of elections in 2014.

Between 500,000 and 600,000 Hungarian Jews died in the Holocaust, according to the Holocaust Memorial Centre in Budapest. According to some accounts, one in three Jews killed in Auschwitz were Hungarian nationals.

Gyongyosi's call came after Foreign Ministry State Secretary Zsolt Nemeth said Budapest favored a peaceful solution to the Israeli-Palestinian conflict as benefiting both Israelis with Hungarian ancestry, Hungarian Jews and Palestinians in Hungary.

Gyongyosi told Parliament: "I know how many people with Hungarian ancestry live in Israel, and how many Israeli Jews live in Hungary," according to a video posted on Jobbik's website late on Monday, Nov 26.

"I think such a conflict makes it timely to tally up people of Jewish ancestry who live here, especially in the Hungarian Parliament and the Hungarian government, who, indeed, pose a national security risk to Hungary."

The government released a terse condemnation of the remarks.

"The government strictly rejects extremist, racist, anti-Semitic voices of any kind and does everything to suppress such voices," the government spokesman's office said.

Gyongyosi sought to play down his comments on Tuesday, saying he was referring to citizens with dual Israeli-Hungarian citizenship.

"I apologize to my Jewish compatriots for my declarations that could be misunderstood," he said on Jobbik's website.