In addition to handling the health repercussions of the coronavirus epidemic, handling the economic effects of the global pandemic is the government’s most important task, Minister of Foreign Affairs and Trade Péter Szijjártó said in Budapest at a ceremony to present competitiveness program funding certificates on Friday.

“This is not the first time that the government has faced the task of having to reboot the Hungarian economy”, the Minister emphasised. “A significant difference between the situation ten years ago and the current situation, however, is that following 2010 the difficulties had to be overcome by a weakened Hungarian economy, while today’s much stronger economy is better suited to overcoming this challenge”, he stated.

Mr. Szijjártó highlighted that the global pandemic has turned economic processes upside own, and a totally now global economic competition is beginning. “According to the government’s position, benefits lead to indebtedness and vulnerability, and accordingly job creation and supporting enterprises that create jobs remains at the focus of Hungarian economic policy”, he said.

The Minister said 583 applications had been submitted within the framework of the competitiveness program so far, with applicant enterprises undertaking to realise 277 billion forints (EUR 790 million) in investments, and protecting 104 thousand jobs as a result.

Mr. Szijjártó explained that jobs are only created through investment projects, and accordingly within the framework of the Economy Protection Action Plan priority attention is being paid to funding enterprises that realise investment projects, and which by doing so create jobs. “While exploiting the easing of EU restrictions, the state is contributing to investments on the part of enterprises that see the future in development despite the current difficult conditions, and a maximum of half the invested amount may be awarded”, the Minister of Foreign Affairs and Trade indicated.

“Hungary has worked for ten years to assure that it becomes the most attractive investment destination in Central Europe, which we have succeeded in achieving, and we cannot give up this position”, Mr. Szijjártó stated. “The Hungarian economy is strong enough to turn this crisis into an opportunity through cooperation between the government, the private sector and employees”, he declared.

“A total of 15 enterprises were presented with funding certificates this week, relating to 7.5 billion forints (EUR 21.4) in investment, 3.7 billion forints (EUR 10.5 million) in non-returnable funding, and over 3100 preserved workplaces”, Mr. Szijjártó told those present. Three company directors were presented with funding certificates at the Ministry of Foreign Affairs and Trade on Friday.

Abroncs Kereskedőház (Tyre Trading House) Limited will be realising an investment of 593 million forints (EUR 1.69 million), towards which it is receiving 287 million forints (EUR 819 thousand) in state funding. In the interests of the complex development of the company’s services, it will be purchasing new machinery and realising hardware and software development projects. The area’s Member of Parliament István Simicskó said the way the company is searching for a take-off opportunity is exemplary, stressing that the administration is a partner in this, and that the Hungarian government was one of the first to take action in the interests of a rapid exit from the crisis.

Térváz Construction Limited’s investment of over 298 million forints (EUR 850 thousand) is receiving 149 million forints (EUR 425 thousand) in state funding. The company, which designs and constructs production halls and office buildings, will be acquiring new equipment thanks to the funding. The region’s Member of Parliament Gábor Bányai highlighted the fact that the company places emphasis on high-quality work, and has already realised major innovations. He said it is particularly important that the government has been able to launch this funding opportunity rapidly, using domestic resources.

Várda Vulkán Ltd. will be realising an investment of 574.5 million forints (EUR 1.64 million) with state funding of 287 million forints (EUR 818 thousand). The company will be constructing two new buildings for the production, cleaning and warehousing of its iron castings products.

(Ministry of Foreign Affairs and Trade / MTI)