Finance Minister Mihály Varga emphasized that Hungary remains one of the most attractive investment destinations in Europe as a result of declining taxes, a supportive business environment, a well-trained workforce and a high level of security.
The coronavirus epidemic temporarily halted Hungary’s dynamic economy, but thanks to economic protection measures and the country’s resilience, the Hungarian economy was able to grow in the last quarter, he added.
According to the gross domestic product indicator in the last quarter of 2020, the country achieved the fifth-best results among the 27 member states of the European Union. This is due to Hungary’s consistent economic policy of the last 10 years and the fact that the budget supports economic actors with significant resources, the minister of finance added.
Varga also emphasized that despite the epidemic, HUF 2.5 trillion in investments have been announced in Hungary since the beginning of 2020. Credit rating agencies also recommend Hungary for investment despite the crisis, plus Hungary has the lowest corporate tax rate in the EU, and the tax reduction continued even during the economic downturn, he added.
Turning to the ongoing virus situation, Varga added that sufficient levels of vaccination are required to restart the economy, so there will be no budgetary obstacles to the procurement of vaccines and protective equipment in the future. Once large-scale inoculation occurs, economic growth could return with a double-digit expansion, meaning Hungary could see its highest growth rate ever.