On the Path to a Knowledge-intensive Economy With the Help of FDI

FDI OVERVIEW ▶▶▶

EV BATTERY INVESTMENTS LIFT HUNGARY’S FDI MARKET IN 2022

Last year, foreign direct investment inflow into Hungary performed exceptionally well, with the annual investment volume reaching almost EUR 6 billion, and eight new investments exceeded the EUR 100 million limit. That is extraordinary not just nationally but regionally. While the market is facing obvious challenges, the outlook is positive. Two Big Four analysts unpack the industry sentiment for 2022 in Hungary with the Budapest Business Journal.

EVs and green energy can turbocharge the Hungarian economy . Image by Blue Planet Studio / Shutterstock .com

By Christian Keszthelyi

“Such records have obviously been broken in 2022 due to the EV [electric vehicle] battery industry boom: the new CATL battery factory in Debrecen alone can match the 2021 records with an investment value of EUR 7.3 bln,” Detre Horváth, director of Tax Services at PwC Hungary, tells the BBJ.

“The EV battery industry invests a lot, and we expect that other global players will arrive soon; this helps to maintain the huge FDI flow no matter what happens in other sectors of the economy,” he adds. Zsolt Kocsis, tax partner at EY Hungary, agrees about the state of current FDI market sentiment in this country.

“FDI in Hungary reached record levels in the previous years up until 2022 due to the country’s successful economic policy as well as its highly effective subsidy policy compared to the surrounding states,” he explains.

“This year’s results are not yet finalized [at the time of writing], and [the Hungarian Investment Promotion

“FDI in Hungary reached record levels in the previous years up until 2022 due to the country’s successful economic policy as well as its highly effective subsidy policy compared to the surrounding states.”

REAL ESTATE INVESTMENT ▶▶▶