“Applications for over double the 50-billion-forint (EUR 145 million) budget available have been submitted for the tender aimed at facilitating the technological modernisation of enterprises, as a result of which the government is doubling the original budget with an additional 50 billion forints”, Minister of Finance Mihály Varga announced following a session of the Economic Cabinet.

“Following the winning fight against the epidemic, it is now time to reboot the economy, and for this reason the government is providing funding towards their restart to all viable Hungarian enterprises that wish to realise development. Applications for a total of 105 billion forints have been submitted by 4500 enterprises.”, the Minister highlighted. As part of the Economy Protection Action Plan, the government reallocated significant development resources in May, following which the winners of these tenders were announced in record time”, Mr. Varga reminded the press, highlighting the fact that the evaluation and assessment of funding applications remains continuous, and advance payments have already been transferred to several companies.

Enterprises have had the opportunity to apply for tenders entitled “Funding for micro, small and medium-sized enterprises for development projects to facilitate the adaptation to modern business and production challenges”, published within the framework of the GINOP and VEKOP operative programs, with budgets of 33.3 billion forints (EUR 96.3 million) and 18.8 billion forints (EUR 54.4 million), respectively. The budgets of both programs will now be increasing thanks to the Cabinet’s decision.

The Minister said the tender is funding development and investment projects that facilitate the efficiency of enterprises, the protection of jobs, and the creation of new workplaces. “Enterprises can use the conditionally returnable funding to, amongst others, purchase new equipment and machinery, but the funding may also be applied towards establishing automated production, developing IT technologies, property development projects, product and services development, and training”, Mr. Varga detailed.

As he explained, “The over 200 percent oversubscription for the tender indicates that Hungarian enterprises are ready to realise investment projects in the interests of exiting the crisis in a reinforced state. The government is not only facilitating this through increasing the program’s budget, but also through assuring an accelerated and simplified procedure”.

(Ministry of Justice/MTI)