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Country Reports

Hungary Country Report

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Risk Level

Low
Moderate
Elevated
High
Very High
Severe
Extreme

Overview

Executive Summary

The Fidesz-KDNP alliance has a strong parliamentary majority, which is likely to be maintained after the April 2018 election. Relatively robust economic growth and limited fiscal deficits alleviate sovereign risk pressures, and have opened the way for business tax cuts. However, discriminatory taxes and the prospect of arbitrary rule changes continue to weigh on many sectors including retail, banking, and energy. The recent refugee influx into the European Union has prompted Fidesz to take a strong anti-immigration stance that has mainstreamed far-right rhetoric and strained relations with the rest of the EU. Political or social protests are likely to remain rare, and are typically brief and non-violent, with little to no impact on business operations.

Last update: March 27, 2018

Operational Outlook

Historically, attitudes to foreign investment have been generally positive and Hungary has benefited from strong foreign direct investment inflows. Nonetheless, several non-conventional measures of the Fidesz government, such as ad-hoc taxes on selected industries where mainly foreign companies operate, and its appetite for centralisation and state control have made Hungary's operational environment less predictable. Red tape remains cumbersome. High-level corruption and clientelism is likely to remain a problem, particularly in government- and EU-funded infrastructure projects. Labour rules are flexible and militancy low, but weak mobility, a rigid education system, and rising emigration have caused a shortage of workers in some regions and industries.

Last update: March 27, 2018

Terrorism

Moderate

The record-high influx of refugees via Hungary into the EU increased national concerns regarding potential terrorist attacks, particularly in the wake of numerous acts of terrorism in Western Europe since 2015. Hungarian treatment of refugees has been controversial, including the use of force (tear gas and water cannons) to maintain order at borders. That being said, the country remains an unlikely target of Islamist militant groups. Ethnically motivated violence, targeted primarily at members of the Roma and Jewish community, is the primary terrorism risk in Hungary.

Last update: March 27, 2018

War Risks

Low

The risk of Hungary being involved in an inter-state military conflict or the likelihood of civil war occurring in the country is low. The issue of Hungarian minorities occasionally tests diplomatic ties between Hungary and its neighbours (mainly Slovakia, Romania, Serbia and Ukraine), but this is highly likely to be contained at the diplomatic and political level. Hungary is also part of the EU (alongside Slovakia and Romania), which mitigates the risk further; whereas its membership in NATO (likewise alongside Slovakia and Romania) will act as an additional forceful deterrent against external assault.

Last update: March 27, 2018

Social Stability

Elevated

Pro- and anti-government protests will occur occasionally in Hungary, typically attracting several thousand people. They have the potential to cause some disruption to businesses and traffic, mainly in central Budapest. If held, they are unlikely to last for longer than a few hours or a day at a time. Despite the occasional presence of far-right participants, violence is unlikely and in fact violent protests have not been seen since 2006. Government premises or vehicles would be the most probable targets for vandalism during these protests. Environmental and anti-globalisation movements exist, but remain underdeveloped and organise mainly as peaceful social movements.

Last update: March 27, 2018

Health Risk

High

Vaccinations required to enter the country

No vaccinations are required to enter the country.

Routine Vaccinations

Hepatitis A: A vaccine is available for anyone over one year of age. The vaccine may not be effective for certain people, e.g. those born before 1945 and who lived as a child in a developing country and/or have a past history of jaundice (icterus). These people can instead get a shot of immune globulin (IG) to boost their immunity against the disease.

Hepatitis B: A vaccine is available for children at least two months old.

Diphtheria-Tetanus-Polio: A booster shot should be administered if necessary (once every ten years).

Other Vaccinations

Typhoid Fever: If your travels take you to regions with poor sanitary conditions (for children two years old and up).

Rabies: For prolonged stays in an isolated region (for children from when they can walk).

Tick-Borne Encephalitis: For stays in rural zones and for hiking enthusiasts (for children over the age of one).

For Children: All standard childhood immunizations should be up-to-date. In the case of a long stay, the BCG vaccine is recommended for children over one month and the MMR (measles-mumps-rubella) vaccine for children over nine months.

Last update: November 28, 2013

Practical Information

Climate

Hungary has a moderate continental climate.

Winters are harsh and snowy; summers are long and can become quite hot and thunderstorms are common. The country receives large amounts of rain in February and March.

Useful Numbers

Country Code: +36
Police: 107 or 112
Tourist Police: 438 80 80
Fire Dept.: 105 or 112
Ambulance: 104 or 311 16 66 or 112

Electricity

Voltage: 230 V ~ 50 Hz

Outlets:

Last update: December 9, 2013