The government’s policies toward corporations have resulted in delayed or completely abolished foreign investments, revised business plans and job dismissals, Hungarian executives polled by news agency Bloomberg say. “In 2011 we received funds from our German parent company for a factory development but after the introduction of the ‘chips tax’ they decided to develop a… Continue »

Hungary’s economy will shrink by 1.3 per cent this year, the European Bank for Reconstruction and Development said in a quarterly report this week. Falling domestic consumption and the unwillingness of banks to lend are dragging Hungary into a new recession, the report said. The bank predicts that growth next year will be limited to… Continue »

The Central Prosecutor’s Office has dropped an investigation against former Socialist prime minister Ferenc Gyurcsány. The case was abandoned for “lack of sufficient evidence”, prosecutor Imre Keresztes told state news agency MTI last Friday. Gyurcsány responded by rounding on his accusers and demanding the resignation of Chief Prosecutor Péter Polt, a former electoral candidate for… Continue »

Support for the ruling centre-right Fidesz party and the Socialists is almost equal, according to an Ipsos poll conducted this month. Of decided voters, 33 per cent would vote for Prime Minister Viktor Orbán’s party, while 30 per cent declared they would back the Socialist Party. The far-right party Jobbik came third on 22 per… Continue »

The red mud catastrophe could be followed by a social one if aluminium company MAL fails to pay its HUF 1.4 billion (EUR 4.90 million) bill, Ajka-based power plant Bakonyi Erõmû warned on Wednesday. CEO Frigyes Németh said energy supplies to the aluminium company would be cut off if no debt settlement is reached, with… Continue »