Nagy: US-Hungary economic ties ‘flourishing’

The development of US-Hungary economic relations is undimmed and cooperation has been smooth in recent years, he said.

The United States is one of Hungary’s biggest partners in the trade of goods and the second biggest in the trade of services, Nagy said. American companies account for about 10 percent of the 100 billion euros of FDI in the country, he added.

US-owned companies such as General Electric, Coca-Cola, Flextronics, Jabil Circuit and Morgan Stanley provide livelihoods for over 21,000 Hungarian households, he said, urging American businesses to reinvest in their local operations.

Nagy said the government was open to resolving the matter of double taxation avoidance. The damage caused by the US decision to terminate the double taxation avoidance treaty with Hungary was felt in both countries, even as bilateral economic ties thrive, he added.

The cabinet is seeking a solution that would be “mutually beneficial and comply with contemporary rules”, he added.