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hvg.hu English version

Tenth Budget Airline Starts Serving Budapest

British low cost carrier EUJet will start flights to Budapest on March 28, pushing the number of budget airlines serving the Hungarian
.... Observers say the market is approaching saturation point, while Europe’s low-cost giant Ryanair is yet to start service
2004, however does not hurt the positions of traditional airlines. “Low-cost carriers are competition to traditional airlines, but
... aimed at a different group of passengers, namely to those who otherwise would opt for other means of transportation,” said Hungary’s
... foreigners to Hungary who wouldn’t come otherwise, and we fly Hungarians who never took an airplane.” Mostly as a result of a number

hvg.hu English version

Hungary Attracts A League Of Financial Co’s

Since Hungary entered the European Union last May, the number of foreign financial companies that registered in the country has reached and exceeded
According to the registry of the State Supervision of Financial Institutions (PSZÁF), the last financial service provider that entered
... a permit. They only have to report their intention to enter Hungary to their respective market watchdog
... member states and in Iceland, Norway and Liechtenstein. Budapest Bank Rt. aims to enter Poland and the Czech Republic, to

hvg.hu English version

FinMin Promises Tax Cuts

Finance Minister Tibor Draskovics said revenue-based local industrial tax will have to be eliminated on the long
industrial tax will have to be terminated on the long run, and as a first step, it should be reduced and changed to be
.... Draskovics added that the flat healthcare tax is also likely to be abolished at the end of 2006. Regarding corporate taxes, the
... corporate tax rate can be reduced to 10% and later to half of the currently 16% in the case of companies earning not more

hvg.hu English version

German Property Firm Ups Investments in Budapest

Bonn-based IVG Immobilien AG plans to invest EUR 66 million in the Infopark office complex in Budapest by the end of 2007, IVG president
Freyend said IVG has invested more than EUR 100 million in Budapest by building 65,000 square meters of real estate and the company plans
... square-meter office building, which cost EUR 25 million to build. The building’s first tenant is software developer Freesoft, which
... square meters. IVG has a preliminary contract with Deutsche Telekom’s IT arm T-Systems, which plans to populate 3,500 square meters in

hvg.hu English version

Finance Ministry Vetoes Airport Land Purchase

State-owned Budapest Airport Rt. has to invalidate its contract with Carion group involving a HUF 4.7 billion land purchase deal, the
Carion bought former agricultural land for HUF 2,500-HUF 5,000 per square meter and sold it to Budapest Airport for HUF 24,000 per
... public utilities and building permits. Budapest Airport originally planned to build its new cargo base on the area. Budapest Airport
... Airport “should restrain from contracts involving land deals.” When asked if the ÁPV’s order referred to the contract with Carion

hvg.hu English version

OTP CEO Suspected Behind Owner Of Rotary Rt

Oil industry sources suspect Sándor Csányi, chairman and CEO of OTP Bank Rt., to be owner of the U.S.-based offshore company that owns
business comes from oil and gas company MOL Rt., of which Csányi is chairman. MOL’s board decided in 1999 to sell Rotary, which was a
... hinting that it has Csányi in the background. RMBK was established prior to it became owner of Rotary, but after 10 months of
... to ÁDI Auditing Asset Valuation and Management Kft., a company owned by György Ádámosi, a close friend of Csányi. ÁDI has acted as

hvg.hu English version

Tax Committee Unveils Reform Proposals

A special committee set up to reform Hungary’s current tax system will propose introducing two-bracket systems in corporate profit tax
While keeping the current 15% simplified entrepreneurial tax (EVA), the committee suggests to introduce a new, lower bracket – at 10% –
... brackets. Corporate profits for up to HUF 5 million will be taxed at 10%, while profits exceeding the limit will be taxed at 16%, which
... 18%, while those making more will be levied 38%. The committee proposes significant changes in the financing of municipalities, as it also plans

hvg.hu English version

Real Estate Tycoon Invests 1 Bln In Romania

TriGránit Real Estate Development Rt. has announced plans to invest EUR 1 billion in building a new city area in the Romanian
plans to build a 104,000 square-meter multi-functional city center including shopping and entertainment facilities, cultural
... Romania as the new eastern gate of the European Union. According to written materials distributed to the press at the
... the EUR 1 billion figure. The company will not restrict itself to Bucharest only, but also plans developments in other Romanian cities

hvg.hu English version

Hungary Goes Digital

The Hungarian government has approved a proposal on the strategic aims and government tasks related to the changeover to
prompted the Hungarian government to start preparations for the changeover, said the Ministry of Information Technology in a statement
... Hungary’s densely populated areas as early as in 2007. After coverage of the digital service has been expanded to the entire country
... operating analogue system will be shut down in 2012. According to the government’s plans, analogue broadcasting will continue after

hvg.hu English version

Erste To Continue Expansion

Austria-based Erste Bank is increasing the number of its branches by 20 to 170 by the end of this year, making it the bank with the
According to information from Austrian business newspaper Wirtschaftsblatt, Erste will focus its expansion on West Hungary, where it
... to a latest cooperation agreement the two companies made, Erste will be allowed to sell its current account, credit card
... services through Magyar Posta’s post offices across the country. The services are currently available in 20 post offices, and Erste plans

hvg.hu English version

Real Wages To Grow In 2005

Hungary’s economy could grow 4% this year, while inflation is expected to continue falling and real wages will keep rising, according
driven by export and investments in 2004. Due to uncertain growth prospects in Western Europe, the rate of investments could slow in
.... Real wages grew 1% in the private sector and fell 5% in the public sector last year. The latter is partly due to the fact that public
... workers were paid their year-end bonuses as late as in January 2005. Still, turnover in retail trade was up 5.7% in 2004, partly due to

hvg.hu English version

EU Gets Tough On Hungary’s Swelling Deficit

Contrary to hopes by the Hungarian government, it seems likely that Hungary can’t get away with more favorable calculations on its
outlining its plan to join the euro zone last May. In its program Hungary forecast that budget deficit will be reduced gradually
..., but it resulted in a plan with more drastic reductions towards the end, as the deficit figure for 2008 was upped to 2.8% only. The EC
... program as leaving only small reserves to meet the euro zone conditions, and has urged the Hungarian government to make

MTI Gazdaság

Százmilliós támogatást kap a Tisza-tó

Százmillió forintos támogatást nyújt a Tisza- körül megvalósuló turisztikai beruházásokhoz 2005-ben a Magyar Terület és Regionális
A pénz felhasználásáról pályázatok nyomán dönthet a Tisza- Térségi Fejlesztési Tanács - közölte Szegvári Péter, a hivatal elnöke
... és a megyei fejlesztési tanácsok kezelik. Vagyis a szükséges források rendelkezésre állnak a menti infrastruktúra-fejlesztéséhez

hvg.hu English version

Inflation Improvement Makes Room For Rate Cuts

London-based analysts predicted last week that Hungary’s central bank rate could fall to 7% by end of 2005. They based their optimistic
Central bank rate could fall to 8% by year-end, said Wike Groenenberg, European convergence market analyst of Citigroup in London
... the Hungarian forint remains strong at that level, the National Bank of Hungary (MNB) could lower its central deposit rate to 7%.
... 75 basis point cut. Most likely implemented in three 25-basis point cuts, the move could result in central deposit rates falling to

hvg.hu English version

Committee Formed To Reform Taxes

A tax reform committee involving government, opposition and non-governmental members held its opening session last week, but it is not expected
The committee promises to set the framework of overall tax changes that will take effect in 2006 and 2007, the earliest, while
... in the field of VAT (ÁFA). However, EU rules make it harder to reform VAT laws than other tax regulations. EU laws allow member states
... same time, the government would probably increase excise taxes on gasoline and tobacco products, because it would not want to make

hvg.hu English version

Fund To Support Ethnic Hungarians

Parliament has passed a law on establishing Motherland Fund, a special state fund financing programs aiming to improve living standards
be heading every area that receives funding. So far eight such areas have been established. Compared to the wide scope of the fund’s

hvg.hu English version

Hungary Helps Serbian Police In Family Massacre Case

brutally murdered in Horgos, Serbia, at the end of January. The man is believed to have connections with the organized crime in
The family recently requested Hungarian citizenship, but their request was rejected. Police sources in Szeged say that Szalma might be connected
... the murder of Zoltán Németh in 1977. Németh, who operated night clubs around Lake Balaton and was believed to be friends with Szalma
... Mercedes was blown up. The murders have not been found to date. The killing of the Szalma family is being investigated in Belgrade by

hvg.hu English version

Gov’t Spends Dearly On Communication

Ferenc Gyurcsány’s cabinet is boosting spending on public communication by 50% compared to last year. The government has announced
... tenders for communication drives to the tune of HUF 2 billion to be spent before the next elections in May
While Gyurcsány’s cabinet scaled down activities announced by its predecessor, it plans to spend more to communicating
... government plans to spend HUF 1.35 billion on residential campaigns in 2005, 61% up from HUF 836.2 million spent in 2004. It will spend
... million on communication campaigns related to Hungary’s membership in the EU, an amount unchanged from 2004. In January, however, the

hvg.hu English version

Semi-Private Co. To Build Motorways

The Hungarian government has decided to outsource motorway building to State Motorway Management Rt. (ÁAK) in
The move allows the government to place the costs of motorway building outside the public sector, reducing central budget deficit, said
... Transport Minister János Kóka. According to EU rules, state-owned ÁAK classifies as a private company, because it collects more than
...) soon will hand over its contractual obligations to ÁAK, which in turn will pay HUF 137 billion into the state budget this year. ÁAK

Tech

Felújítja űrsiklóprogramját a NASA

Három hónap múlva felújítja űrsikló-programját az amerikai űrkutatási hivatal, a NASA. Május 12-én – hacsak valami nem jön közbe – a Return

Legalább 98-an meghaltak, amikor beomlott egy szórakozóhely teteje Dominikában – videó

Legalább 98-an meghaltak, amikor beomlott egy szórakozóhely teteje Dominikában – videó

Marabu Féknyúz: Magas korrupció, mi?

Marabu Féknyúz: Magas korrupció, mi?

A Fehér Ház reagált Szijjártó vádjaira: a vámokat indokló jelentést kiváló közgazdászok írták

A Fehér Ház reagált Szijjártó vádjaira: a vámokat indokló jelentést kiváló közgazdászok írták

Tóta W. Árpád: Egy fingszagú szatyor az egész országunk

Tóta W. Árpád: Egy fingszagú szatyor az egész országunk

Republikon: Hétszázalékos a Tisza előnye a biztos szavazó pártválasztók körében

Republikon: Hétszázalékos a Tisza előnye a biztos szavazó pártválasztók körében

Nagy Ervin szerint Fábry Sándor felismerte, hogy nem kellett volna befeküdnie a hatalomnak

Nagy Ervin szerint Fábry Sándor felismerte, hogy nem kellett volna befeküdnie a hatalomnak

Kicsit más lett a Mercedes emblémája

Kicsit más lett a Mercedes emblémája

Egy francia miniszter szerint az európai egységet áshatja alá Meloni amerikai látogatása

Egy francia miniszter szerint az európai egységet áshatja alá Meloni amerikai látogatása

Megéri állampapírban takarékoskodni nyugdíjra?

Megéri állampapírban takarékoskodni nyugdíjra?

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