Capital: Budapest HDI: 0.818 (43rd)
GDP (PPP): $246.4 billion
Population: ~ 9.9 million
Hungary is situated in the heart of Europe with a unique culture and language that stands apart from its Germanic and Slavic neighbors. Hungarians enjoy high standards of living and levels of education while having a lower cost of living than in Western Europe. The country was formerly a part of the communist bloc, but has successfully made the transition to a market economy. The government has done a good job at making Hungary attractive to foreign investors through reduction of the corporate tax rate, and reforms that have reduced the government deficit; the environment is now a more stable and safe place in which to do business.
Doing Business in Hungary – World Bank Group
This economy profile presents the Doing Business indicators for Hungary. To allow useful comparison, it also provides data for other selected economies (comparator economies) for each indicator. The data in this report are current as of June
1, 2014 (except for the paying taxes indicators, which cover the period January–December 2013).
Economic Survey of Hungary
Hungary has exited from recession in early 2013, but the recovery will be modest. Growth potential is held back by weak investment, low employment among low-skilled workers and shortcomings in labour and product markets, making further structural reforms essential. Meagre growth and its causes harm well‑being in ways that go beyond GDP per capita and concern income inequalities and the scope for social mobility.
Industry Trends & Business Climate
GKI: 2015 economic trends in Hungary
GKI research firm forecast a 2% GDP growth for 2015, down from 3.2% this year, the firm said yesterday. Slower than expected world economy growth, a fall in oil prices and tensions between the United States and Russia are the key external factors in Hungary’s slowing economy.
Hungary Business Confidence
Business Confidence in Hungary decreased to 5.80 in October from 7.50 in September of 2015. Business Confidence in Hungary averaged -6.82 from 1996 until 2015, reaching an all time high of 8.10 in December of 2014 and a record low of -37.70 in March of 2009. Business Confidence in Hungary is reported by the GKI Economic Research Co..
Establishing a Presence
Business Types – General Rules in Hungary | CFE portal
The Companies Act provides for a variety of legal forms under which business entities may be established in Hungary.
Business Registration Requirements -Starting Up in Hungary | EUGO
General partnerships, limited partnerships, limited liability companies, single member companies or private limited companies may be founded in a simplified procedure by enclosing with the application for the registration of the company the deed of foundation drawn up on the basis of a template in the annex of the Company Procedures Act.
Business Registration Requirements -Setting up an LLC or Ltd. Company registration in Hungary
Company Formation Hungary
Starting Up in Hungary | EUGO
The primary act of law in Hungarian company law is Act 4 of 2006 on Business Associations (Companies Act). The main types of business associations under the Companies Act are identical to those regulated in EU countries.
Setting up a company in Hungary
Setting up a company in Hungary follows the same legal system that is currently used in EU countries. Read our guide to find out about the most attractive form of incorporation for foreign investors.
Business Types – Company Formation Hungary
The Companies Act makes it possible for residents and foreign investors to form several types of companies in Hungary. This site describes the alternatives
Corporate – Hungary Corporate Tax Rate
The Corporate Tax Rate in Hungary stands at 19 percent. Corporate Tax Rate in Hungary averaged 23.38 percent from 1989 until 2015, reaching an all time high of 50 percent in 1989 and a record low of 16 percent in 2004. Corporate Tax Rate in Hungary is reported by the National Tax and Customs Administration of Hungary.
Corporate – National Tax and Customs Administration of Hungary
Guidelines, summaries on taxation
Personal – National Tax and Customs Administration of Hungary
Guidelines, summaries on taxation
Personal – Personal Income Tax in Hungary
Personal Income Tax in Hungary
VAT/Sales Tax – National Tax and Customs Administration of Hungary – VAT
VAT Information including refund process.
Hungary introduced Value Added Tax (VAT) in 1988, and is termed Általános forgalmi adó locally (AFA).
Welcome to our Consular Service site! Here you can find useful information on conditions of entry, visa agreements, consular fees, and legal regulations.
Passport & Visa Requirements to Hungary
Passport & Visa Requirements
Work Permits – Hungary Guide: Working in Hungary, Visas and work permits
Since Hungary has joined the European Union, its rules and regulations regarding labour mobility are changing as they come into line with EU directives. Most non-EU citizens require a work visa and permit in order to go and work in Hungary.
Work Permits – Residence Permit for the Purpose of Employment
Residence Permit for the Purpose of Employment or other Gainful Activities
Getting around Hungary on local transport
A guide to local transportation
Infrastructure and Transport | Hungarian Chamber of
Hungary’s central location in Europe and the dense motorway network is one of its most important competitive advantages.
Telecom/IT – Telecommunications in Hungary
Telecommunications in Hungary include radio, television, fixed and mobile telephones, and the Internet.
Telecom/IT – Hungary Infrastructure, power, and communications
Hungary – Infrastructure, power, and communications
Basic Provisions of Hungarian Employment Law
Basic Provisions of Hungarian Employment Law
Labor Rules and Regulations – [PDF]Law at a glance Hungary – L&E Global Knowledge Center
Employment relations in Hungary are governed by the Labour Code and other labour law legislation, collective bargaining agreements and individual employment contracts
Labor Rules and Regulations – Labor Law in Hungary | CFE portal
This site describes contracts, working hours, compensation, termination and employee holidays
Social Insurance – Unemployment Benefits in Hungary
This site describes the two types of unemployment benefits that may be claimed in Hungary; job seeker’s allowance (álláskeresési járadék) and job seeker’s assistance before pension (nyugdíj előtti álláskeresési segély).
Social Insurance – Payable social security contributions
As of 1 January 2015 the early retirement insurance contribution is no longer to be paid in view of the fact that from that date the system of early retirement is removed from the social security contribution.
Climate of the World: Hungary
The climate of the Hungary can be described as typical European continental influenced climate with warm, dry summers and fairly cold winters. January is the coldest month with daytime temperatures usually around zero, but in some cases winter months can be very cold with temperatures far below zero and strong, cold northeasterly winds, called Bora, especially in the mountainous regions.
Climate – Hungary Weather, Climate and Geography
Hungary has a mild continental climate. There are four distinct seasons, with a very warm summer from June to August where temperatures can rise to as high as 35°C (95°F). Spring and autumn are mild, while winters are very cold, as low as -10°C (14°F), and not a good time to visit rural areas – although city breaks are enjoyable at any time of year.
Cost of Living – Hungary – OECD Better Life Index
Hungary performs well in only a few measures of well-being relative to most other countries in the Better Life Index. Hungary ranks above the average in work-life balance, and personal security. It ranks below average in social connections, income and wealth, housing, jobs and earnings, subjective well-being, and health status.
Business Etiquette – Hungary – Language, Culture, Customs and Etiquette
The dos and don’ts of business etiquette in Hungary
Business Etiquette – Hungarian business culture: advice on Hungary
Did you know about business culture in Hungary? Watch this video animation to find out some interesting facts:
Cost of Living in Hungary. Prices in Hungary.
Cost of living information includes price indices for rent, food, utilities, transportation, restaurants, clothing and more
Holidays in Hungary – Time and Date
Schedule of national holidays and Observances
Holidays in Hungary | Office Holidays
Public Holidays in Hungary.
Demographics – Hungary Demographics Profile 2014
Demographic information includes population, quality of life, health, sports, technology, energy and the environment
Demographics – Hungarian Central Statistical Office
Hungarian Statistical Office Website.
Safety in Hungary – US Department of State
US Department of State – Go to Safety and Security for updates from the Swedish government
Safety in Hungary
Hungary is generally a safe country. People in Hungary are hospitable and are welcoming of visitors.
Education in Hungary
It is mandatory for children between the ages of five and 16 to attend some form of full-time education. There are a number of educational options available to expats living in Hungary with children; however, language barriers may end up being a deciding factor.
Education – Hungary Guide: The Hungarian education system
All Children in Hungary from age 6-16 are obliged to attend compulsory education. Children between three and six can go to the kindergarten. The last year of kindergarten is compulsory.
OEC – Hungary (HUN) Exports, Imports, and Trade Partners
Top exports and imports and top destination countries and countries of origin
Import/export Regulations – Foreign Trade and Customs Regulations | Hungarian .
Products and services may be imported freely into Hungary, subject to certain restrictions. Since Hungary’s accession to the European Union (1 May 2004) trade with other Member States takes place within the framework of the EU’s internal market, the main principles of which are the free movement of goods, services capital and persons.
Trade Agreements – EFTA-Hungary Free Trade Agreement – International
Indeed, Hungary, accompanying with Poland, are the countries of transitional economies in Central and Eastern Europe signing free trade agreement with EFTA.
Housing and Rentals
Hungary Housing & Rentals: Finding a nice place to live
Finding a nice place to live is always difficult. Hungary is no exception
Renting a House or Apartment
The rental market in Hungary is deregulated and foreigners can rent property in their own name. There are plenty of furnished and unfurnished rental opportunities in Budapest and other major towns, but prices and services vary greatly.
Hunagarian Tourism Ministry
The tourism sector may this year reach record high figures, as the number of guests at accommodation establishments is expected to hit 10 million, the number of tourism nights and the amount of tourism revenues are to exceed 25 million and HUF 35bn, respectively, by the end of the year,