Mihály Varga, the Minister of Economy in Hungary, met recently with a group of negotiators from the European Bank for Reconstruction and Development (EBRD) in Budapest. During the meeting, they discussed about the implementation of the Memorandum of Understanding (MoU), an agreement signed by Hungary earlier this year.
The Memorandum of Understanding signed between Hungary and EBRD
Hungary signed with EBRD the Memorandum of Understanding in February and one of the effects of this accord will be felt next year, when the Hungarian government committed to gradually lower the bank levy. This measure is meant to strengthen the bank sectorʼs flexibility and lending ability and also bolster the economic growth in Hungary.
As a result of the Memorandum of Understanding, EBRD has planned a country strategy for Hungary for 2015-2019, the main objective being improving the level of efficiency and profitability of the Hungarian financial sector and boosting the flow of bank credits to the private corporations and citizens of Hungary.
Financial packages for the public sector in Hungary
Moreover, Erste Bank Hungary, part of Erste Group, which has proved its long-term commitment to the Hungarian market, will introduce several programs for the next three years, such as:
- a €250 million loan disbursement program, including a complete financial package for public sector employees;
- a €100 million lending package for energy efficiency programs;
- a €200 million loan facility to primary agricultural producers.
Investing in Hungary
Foreign investors or businessmen interested in starting a business in Hungary
, should know that this country has to offer many advantages in terms of foreign and local investments
. The Hungarian authorities offer several incentives for foreign investors interested in opening companies here.
Furthermore, the MoU agreement signed between the Hungarian government and EBRD
will improve the operating environment of the banking industry
. If you need more information about the Hungarian financial sector
or if you need assistance in setting up a company in Hungary
, our local company formation experts
can help you.