BBJ_3306

Agroloop: CEE’s 1st Commercial Insect Protein Plant

Underneath the flight path of Budapest Ferenc Liszt International Airport, Agroloop’s new EUR 30 million plant is leading regional efforts to produce high-quality protein for animal fodder from certified food waste.  17

Precision Farming Aims to Supercharge Local Agriculture

The Hungarian economy suffers from low productivity, and agriculture is no exception. Precision farming has the potential to bring vast improvements, but adequate knowledge-transfer will be essential.  18

All Aboard the ‘Golden Voyage’

National Film Institute

Pioneers Greater Industry Access

While it’s certainly true that a career in film can be exciting, creatively satisfying and lucrative, it’s a tough industry to break into and survive. The head of training at the Hungarian National Film Institute, Eszter Lányi and her team are doing their level best to change all that.  21

February Inflation Triggers Gov’t Action

February’s inflation data wasn’t only disappointing; it might threaten this year’s economic growth. In light of the higher-than-expected figure, analysts have raised their inflation forecast for 2025. In the meantime, the government has deployed its latest weapon: price caps.  3

China’s Ambassador to Hungary Gong Tao gives his evaluation of Chinese-Hungarian trade and cultural relations and the dangers posed to free trade by tariffs, wherever in the world they  come from. 13

Ryanair Expands Flights, Hints at Capacity Increase

The Irish budget carrier is adding new routes to and from Budapest in its summer schedules and has dangled the prize of a substantial expansion in Hungary if the authorities pledge to control airport charges.  7

EDITOR-IN-CHIEF: Robin Marshall

EDITORIAL CONTRIBUTORS: Luca Albert, Balázs Barabás, Zsófia Czifra, Kester Eddy, Bence Gaál, Gergely Herpai, David Holzer, Gary J. Morrell, Nicholas Pongratz.

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THE EDITOR SAYS

IN PRAISE OF A JOLLY GOOD EVENING

The die is almost cast. Indeed, depending on when you read this, it may already have been. I speak of the prize winners who will be named tonight (March 21) at our 11th annual CEO Gala. Two prizes, given equal weight in our minds, each with three shortlisted candidates. Before 10 p.m. tonight (provided I, acting as master of ceremonies, have managed to keep the show running on something like schedule), we will know the identity of the CEO Community and Expat CEO Award winners for 2025.

A lot of work goes into preparing the gala. As I write this, the final final touches (that’s a highly technical event planning phrase) are being made. The equivalent, if you like, of dotting the eyes and crossing the tees before signing an agreement. The gala will progress like an elegant swan gliding across a lake if all goes well. Should you get a glimpse of how quickly (and inelegantly) the legs are paddling below the waterline, I will have done something wrong indeed! Spare a thought for our organizers. Theirs is a thankless, often unheralded task working behind the scenes, but the success of the CEO Gala, now in its second decade, is proof of how well they have done their job. Spare a thought also for our two sets of shortlisted candidates. You can see the complete list of names in my editorial from the Feb. 21 issue, but for now, all you need to remember is that their enjoyment of the evening will be viewed through a very different prism than everyone else.

I think the gala works on several different levels. For a start, it gives business leaders from both the expat and Hungarian communities a chance to mix and mingle with their peers without the need for any competition

(unless they are in the running for an award, of course). But our guests also get the chance to bring their significant other, and with plenty of diplomats and representatives from the Hungarian Investment Promotion Agency also thrown into the mix, it makes for quite a heady brew.

For us, that collective whole is the crucial ingredient, and that’s why we added the CEO Community award a couple of years back. This isn’t a dry and dusty business event. We try and keep things light and entertaining, and you know the food and drink will be good. The setting of the Grand Ball Room at the Corinthia Hotel Budapest doesn’t hurt, either. I think the proof of the pudding, or the party, is that people seem so unwilling to go home. Hang around long enough, and there’s sometimes a point early in the morning, when the technicians have started to strip down the ballroom, the waiters are packing away the tables and chairs, and the guests have begun to drift away, when you will see a group of high powered business executives heading purposefully toward a bar with a cheese plate in tow.

To all of our candidates, congratulations on being shortlisted. I say it every year, and I often think nobody believes me, but the winners will only be picked in the minutes before the gala starts. As I write this, I have no idea whose names will be called out on Friday. But I do know they will have earned the accolade. Enjoy the evening, everyone.

Robin Marshall Editor-in-chief

THEN & NOW

In the 1941 black-and-white photo from the Fortepan public archives, Ilona Elek, Hungary’s first female Olympic gold medalist and a twotime Olympic and six-time World Champion fencer, is seen with French fencer André Gardère, an Olympic and world silver medalist. In the modern image from state news wire MTI, dated March 16, 2025, Italian fencer Giulia Rizzi faces off against eventual winner Anna Maksymenko of Ukraine in the women’s final of the WestEnd Épée Grand Prix at Budapest’s BOK Hall.

Photo by Sándor

Bojár / Fortepan

Photo by Zoltán Kocsis / MTI

1News

• macroscope

February Inflation Data Triggers Government Action

February's inflation data not only turned out to be disappointing but might even threaten this year’s economic growth. In light of the higher-than-expected figure, analysts have raised their inflation forecast for 2025. In the meantime, the government has deployed its latest weapon against the rising cost of food: price caps.

the price monitoring system and the messages the government had been sending retail chains, Nyeste said.

Source:

Inflation in Hungary, 1991-2025 (January-February)

Change compared to the same period of the previous year, %

Consumer prices were 5.6% higher on average in February 2025 than a year earlier. Over one month, consumer prices rose by 0.8% on average, within which food became 1.2% more expensive, the latest data published by the Central Statistical Office (KSH) shows. A price increase of 7.1% was recorded for food on a year-on-year basis, while it became 1.2% more expensive on average from the previous month.

In response to the worse-thanexpected data, the government has introduced what it hopes will be a protective measure in which supermarkets’ margins over procurement prices will be capped at 10% for 30 basic food groups. The measure came into effect on March 17.

Analysts were surprised by the February data and, in response, are starting to revise their inflation expectations for this year upwards.

“The actual figure exceeded both our expectation of 5.2% and the market consensus of around 5.3%,” Erste Bank analyst Orsolya Nyeste said in reaction to the fresh data.

“What is particularly unfavorable is that core inflation rose faster than the overall inflation rate, to 6.2% from 5.8%

in January, which also indicates increasing price pressure in the Hungarian economy regarding longer-term inflation trends.”

In the case of food, further monthly price increases had been expected. However, the extent was still surprising, especially in light of the expansion of

A further, stronger-than-expected increase in food prices clearly caused the high inflation in February. The continued intensive upward pricing of the service sector is also very unfavorable, but this was more or less predictable, according to Nyeste.

Permanently Tight Conditions

The latter is also negative from the point of view that, a few months ago, the service sector could have been expected to support the disinflation process even more. Instead, the process has turned in the wrong direction again, which is particularly unpleasant from the point of view of monetary policy decisionmaking and suggests permanently tight conditions. She stressed that another significantly negative inflation surprise next month might necessitate further upward revision of inflation forecasts.

Gábor Regős, the head macroeconomist at Gránit Alapkezelő [Fund Manager], also labeled the inflation data an “unpleasant” surprise. The market expectation was that the rate of monetary deterioration would slow from 5.5% to 5.3% in February; instead, it accelerated to 5.6%.

It can, therefore, be stated that inflation is once again becoming an increasing problem in the economy and needs to be addressed. Rapid monetary deterioration erodes the value of earnings, thus also posing a threat to growth. In other words, the fresh data not only sees inflation prospects creeping up but also indicates realistic growth prospects are going down.

“The two most important groups, food and services, had the highest annual inflation, at 7.1%

and 9.2%, respectively,” Regős said. “Surprisingly, the price increase of durable consumer goods was only 1.6%. The weakening of the forint is felt most strongly here, so the entire price increase cannot be attributed to the forint, as it is clear that not only costside factors play a role in high inflation, but also the increase in profit rates,” he added. The new governor of the National Bank of Hungary, the former Minister of the Economy Mihály Varga, begins his mandate at a time when inflation is on the rise, Regős noted.

“Although there will hopefully be some moderation in the coming months due to base effects, it is largely certain that annual inflation will be above 5%; the question is whether the estimate should be raised to 6% after the next few data releases,” the Granit head macroeconomist said.

Tightening on the Agenda?

“As a result, a loosening of monetary policy is out of the question, and tightening may increasingly be on the agenda; for now, only at the communication level. What is also certain, however, is that an additional pension increase will also be necessary this year, which will mean an expense for the budget,” Regős added.

According to ING Bank analyst Péter Virovácz, inflation has given the markets unwelcome news for two months on the trot. Based on the

details, one of the significant sources of the strong one-month jump was the further increase in the price of food.

Minister for National Economy Márton Nagy alluded to this in his speech just before the data came out. The government feels it has the tools at its disposal to break the official inflation statistics. At the same time, as previous examples have shown, these interventions may have drawbacks that are currently difficult to quantify, Virovácz warned.

According to him, we should be more afraid of the recessional impact of inflation than a price-wage spiral. In addition to perceived cost rises, the increase in core inflation to

6.2%

should warn the central bank to be cautious. In the current situation, a hasty monetary step to stimulate the economy could only further aggravate the inflation shock through the depreciation of the forint. The inflation situation is, therefore, deteriorating on all fronts and this significantly narrows the room for maneuver in monetary policy, says Virovácz.

As a result of February’s inflation indicator, ING Bank has again revised its inflation forecast for this year. Having raised its annual average inflation expectation for this year to 5.1% after the January data, in light of the fresh figures, the new forecast is now 5.6%.

“The rate will likely fluctuate between 5% and 6.5% for the rest of the year. With such an inflation outlook, there is an increasing chance of another serious negative surprise in economic performance,” Virovácz concluded.

ZSÓFIA CZIFRA

Delegates at Mipim Look to Sustainable Upturn

Delegates to Mipim, the annual commercial real estate and investment expo in Cannes, were concerned with whether there is a sustained improvement in the development and investment markets. More than 20,000 real estate and investment professionals and political representatives from 90 countries attended the 35th staging of the event at the Palais des Festival in Cannes.

Real Estate Matters

A biweekly look at real estate issues in Hungary and the region

According to Reed Midem, organizers of the annual four-day event, “the global urban festival is where investors evaluate opportunities, political leaders showcase sustainable urban projects, and industry leaders address market revival amid changing global demands.”

In general, the concerns expressed over the market reflected the rather uncharacteristic rainy and cold conditions on the Cote d’Azur.

“There is a healthy appetite, and people are talking and trying to make business. Hungary is not getting a lot of attention, although the attitude of international investors has been slightly better than in previous years, so there is not a complete turning away from the country,” commented Valter Kalaus, managing partner at Newmark VLK Hungary.

“Unfortunately, there is not a lot of excitement regarding the country from international investors. The problem is not at a real estate level, but due to political reasons and the economic situation that is affecting the interest of investors,” Kalaus added.

Hungary and several leading Polish cities again had a strong presence through promotional stands, reflecting the perceived need for companies, cities, regions and country promotion agencies to promote their home markets and investment opportunities to international developers, investors and lenders.

The 75 sqm Hungary stand, penned by Torter Design, had a prime location with a terrace overlooking the harbor and old city of Cannes and representatives from around eight firms. Several panel discussions moderated by Gábor Borbély, CBRE’s head of research and business development for CEE and Hungary, discussed investment markets in Hungary and the region.

Driving Force

These reflected on the position of the various markets with an emphasis on the industrial and logistics sector, as it is seen as a driving force in attracting FDI to regional hubs across Hungary. Notable developers promoting themselves at the stand were HelloParks and Innovinia.

Wing had a presence at the Polish stands through its Polish developer Echo Investment and its promotion of the Towarowa 22 project in central Warsaw in partnership with AFI Europe.

The Fuzja (Fusion) mixed-use urban development project in Łódź won the Special Jury Award. The scheme was developed by Echo Investment and Archicom and designed by architects Medusa Group. The redevelopment on the site of a former textile factory has delivered 90,000 sqm of commercial, residential and cultural space. The 22

buildings, including restored heritage structures, are based on the 15-minute city concept, with everything within walking distance. The jury focused on projects that “seek to enhance the built environment prospects in line with ESG goals” in its decisions. Other participants at the Hungarian stand were Biggeorge Property,

Jalsovszky Law Firm, EDC Debrecen, CBRE and the Hungarian Investment Promotion Agency. Roundtable discussions reflected that investment activity across Bulgaria, Czech Republic, Hungary, Poland, Romania, and Slovakia shows signs of picking up.

According to Colliers, regional investment transaction volume could exceed EUR 10 billion in 2025. The Czech Republic and Poland are expected to remain the leading investment destinations. Investment volumes are expected to exceedEUR 2 bln for the former.

Investment figures for Hungary are expected to improve from the disappointing volumes of last year, although significantly below those recorded for Poland and the Czech Republic. Lóránt Kibédi Varga, managing director of CBRE Hungary, sees investment volumes of EUR 750 million-800 mln for Hungary for 2025. Benjamin Perez Ellischewitz, principal at Avison Young Hungary, is less optimistic and expects around EUR 500 mln. Mike Edwards, director of capital markets at Cushman & Wakefield Hungary, sees EUR 500 mln in investment volume for the first half of 2025.

Optimistic Sign

One optimistic sign is a reported recordbreaking deal for Hungary’s industrial real estate market, in which the Erste Open-ended Real Estate Investment Fund has acquired two HelloParks warehouses, the PT2 and PT3 buildings in the HelloParks Páty mega park, providing a combined 84,000 sqm of industrial and logistics space.

“This transaction clearly demonstrates the renewed investor interest in

Hungarian industrial and logistics real estate,” said Gábor Futó, founder of HelloParks and its parent Futureal Group. “Space demand and rental growth have been strong for several years now, underpinned by a massive nearshoring and industrialization trend, in which Hungary has been the clear regional winner,” he continued.

“This transaction is a sign of returning liquidity and will catalyze further investor activity. The early movers will reap the rewards of healthy yields, strong space demand, rental growth, the limited supply of land and […] access the very limited ESG-compliant stock,” Futó added.

The industrial excellence theme of the Hungarian stand reflected the significant FDI Hungary has benefited from and the resultant boom in the industrial development markets in Budapest and regional centers. FDI was EUR 10 bln plus last year, creating around

18,000 new jobs, which has particularly benefited the regions around Debrecen and Szeged, according to Hipa.

The residential sector was another key asset class discussed at events during the Mipim week, particularly the delivery of affordable housing in cities in Hungary and throughout Europe. Zoltán Pécskay, managing director of EDC Debrecen, introduced a subsidized rental system in the eastern city with leases paid one-third by the municipality, one-third by the employer and one-third by the employee.

Mipim will return to the Palais des Festivals in Cannes on March 9-13, 2026, by which time it is hoped that the markets will have further improved.

GARY J. MORRELL

Real estate professionals enjoy the Cannes sunshine at Mipim.

Rival Parties Maneuver to Frame Ukraine EU Referenda Roundup Crisis

The Hungarian Parliament passed a resolution on March 18 opposing a proposal by European Commission President Ursula von der Leyen calling for joint borrowing of up to EUR 150 billion (USD 163.67 bln) to lend to EU governments for rearmament. It was brought forward during an emergency European Council summit on March 6.

With the loosening of the fiscal constraints the EU puts on budgetary spending of member states, the European Commission believes that an additional EUR 650 bln (USD 702 bln) could be freed up for defense spending.

The European Council had called the emergency summit to discuss European defense and continued support for Ukraine in light of U.S. President Donald Trump’s sudden withdrawal of financial and military aid to Ukraine (since restored), potentially leaving Europe to fend for itself.

While Prime Minister Viktor Orbán said that Hungary should participate in common European defense policy and contribute funds to it, he did not agree with the prospect of joint borrowing. For approval, the proposal requires a qualified majority, the backing of at least

of the EU’s 27 member states (representing at least 65% of the bloc’s population), so Hungary alone cannot veto the plan.

Speaking on the sidelines of the summit, Orbán said that the majority of European leaders were arguing that the war should continue, with Europe assuming not only its existing

Ukraine

commitments to Ukraine but also financial and military support previously provided by the United States.

After the summit, Orbán told Kossuth Rádió that EU plans to fill the gap left by apparent cuts to American support for Kyiv would damage the bloc’s economy, adding that EU membership for Ukraine would mean “Europe will be destroyed, including the Hungarian economy. We are not prepared for this, and so I believe that it must be slowed down, and we must find out the people’s opinion about this issue under any circumstances,” he said.

Consequently, Orbán said his government would initiate a referendum on Ukraine’s European Union membership, putting the question to the Hungarian public “quickly and simply” in the format of previous national consultations. Pollsters and opposition parties have widely criticized such surveys as propaganda tools that are manipulative in their phrasing and highly suggestive of desired answers.

Rival Referenda

Supporting Ukraine’s goal of joining the European Union, one such opposition party, the leftist Democratic Coalition (DK), said it would initiate its own national referendum on the matter, the party’s MEP Klára Dobrev (the wife of DK’s leader, former Socialist Prime Minister Ferenc Gyurcsány) said.

DK’s proposed referendum question would be: “Do you support Ukraine becoming a member of the European Union if it fulfills all accession requirements?” Dobrev added that Hungary’s right-wing is exploiting Ukraine’s accession bid for domestic political purposes rather than genuinely seeking public opinion.

Meanwhile, oil deliveries to Hungary through the Druzhba [Friendship] pipeline had temporarily been suspended following a Ukrainian drone strike on one of the pipeline’s measuring stations on March 11,

Minister of Foreign Affairs and Trade Péter Szijjártó said. Szijjártó was informed of the drone strike by Russia’s Deputy Prime Minister in Charge of Energy Affairs Alexander Novak, while Russia’s First Deputy Energy Minister Pavel Sorokin later informed Szijjártó that the Russian operator had completed repairs and resumed oil deliveries to Hungary.

“We call on the Ukrainians not to attack the infrastructure supplying energy to Hungary,” the foreign minister said, especially since Hungary was Ukraine’s principal electricity supplier last year, accounting for 39% of the wartorn country’s electricity imports.

In February alone, Hungary provided 35% of Ukraine’s imported electricity, while 42% of Ukraine’s natural gas imports also passed through Hungary.

Following a meeting of the Foreign Affairs Council in Brussels […], Szijjártó said that Hungary would “naturally” continue to export electricity and natural gas to Ukraine but, in return, would legitimately expect that Ukraine would not endanger Hungary’s energy supplies.

Following a meeting of the Foreign Affairs Council in Brussels on March 17, Szijjártó said that Hungary would “naturally” continue to export electricity and natural gas to Ukraine but, in return, would legitimately expect that Ukraine would not endanger Hungary’s energy supplies. “We will, of course, maintain those deliveries; we don’t want to cause even more hardship for the Ukrainian people,” Szijjártó insisted.

NICHOLAS PONGRATZ

U.S. native Gladden J. Pappin, president of the Hungarian Institute of Foreign Affairs, a state-owned foreign policy think tank and academic research organization, at the presentation of a study called “The Price of Accession: Who Pays for Ukraine’s EU Membership?” in Budapest on March 12.

Photo by Péter Lakatos / MTI

Corvinus Research: Men and Women not Equal in Online Professional Space

Do gender inequalities manifest in online professional collaboration platforms, and if so, how? This question guided research by Orsolya Vásárhelyi, an assistant professor at Corvinus University, and a colleague.

They examined two major international collaboration platforms: GitHub, primarily used by male software developers, and Behance, a platform for creative professionals with a more balanced gender distribution. The study analyzed anonymized data from more than 1.5 million GitHub users and 30,000 Behance users, with findings published in the journal PNAS Nexus. The study found that both men and women face disadvantages when exhibiting professional behaviors typically associated with women in digital environments. Discrimination against women stems from the gender norms associated with their professional behavior, meaning the types of tasks and projects they engage in are typically associated with women. This explains 60-90% of the disadvantages they experience regarding success and long-term profile activity.

Professional behavior was categorized as feminine or masculine based on activity patterns. For example, fashion photography-related comments were predominantly made by women, so engaging in such topics was classified as feminine behavior. In contrast, software development for iOS mobile operating systems was primarily associated with men, meaning participation in such work was considered masculine behavior. Interestingly, men who exhibit feminine professional behavior face even stronger discrimination. While the digital space could, in theory, offer a more level playing field for women and other underrepresented groups, the study shows that gender inequality persists even when gender is not explicitly visible.

Men on these platforms tend to have more followers, receive more recognition (likes), and maintain active accounts for longer than women. On GitHub, women receive 6% fewer likes

in Brief News

ESA, Hungary Launch EUR 2 mln Tender to Boost Space Tech Development

The European Space Agency (ESA), in partnership with the Ministry of National Economy, has announced a EUR 2 million tender to support the development of next-generation network technology solutions and defense and security systems for space, according to a statement issued on the ministry’s website. The tender is aimed at enhancing Hungary’s communications satellite capabilities. Applications for the funding are open until April 30.

Netanyahu to Visit Hungary Before Easter Despite International Arrest Warrant

Israeli Prime Minister Benjamin Netanyahu will make an official visit to Hungary in the coming weeks, defying an international arrest warrant, Gergely Gulyás, Minister of the Prime Minister’s Office, said at a regular press conference on March 13, international news wire Reuters reported. “According to current plans, he will arrive before Easter.

Once the date of the visit is confirmed, we will, of course, announce it, taking into account the extremely important security considerations in this case,” Gulyás said. Easter Sunday falls on April 20 this year. Several other European countries have declared that Netanyahu would be detained if he entered their territory.

than men, and 90% of this disparity is due to feminine professional behavior. Women are also 6% less likely to maintain long-term active accounts, with 75% of this explained by their association with feminine behavior.

The ‘Survival Disadvantage’

On Behance, women’s success gap compared to men is 37%, mainly due to behavior-based discrimination. Their “survival disadvantage” (likelihood of maintaining an active profile) is 11%, with 60% of this

Parliament Passes Law Banning Pride March

Hungary’s parliament passed a law on March 18 to ban the annual Pride march by LGBTQ+ communities, according to international news wire Reuters. Prime Minister Viktor Orbán’s Fidesz party, which holds a commanding parliamentary majority, submitted a bill on Monday that would ban the annual Pride march on the grounds that it could be considered harmful to children and approved it in an expedited process yesterday. The amendment

attributable to feminine behavior. Notably, a higher proportion of female users on a platform does not automatically reduce gender-based behavioral discrimination.

One of the study’s intriguing findings is that, despite facing setbacks in professional success and long-term engagement, women tend to have greater visibility and a larger follower base than expected. This visibility can be both an advantage and a disadvantage, the research suggests; while it provides an opportunity to promote their work, women are often not recognized as experts and face higher levels of harassment, which contributes to attrition.

The researchers highlight that behavior-related stereotypes can have long-term consequences, reinforcing deep-rooted, invisible, and persistent inequalities. Online platforms may entrench and even amplify gender biases through algorithmic and AI-driven decisionmaking, as these systems learn from historically biased data in non-transparent ways.

“Algorithms trained on platform data are more likely to favor code written by users with less feminine behavior or visual content produced by them if success and recognition are used as quality metrics,” says lead study author Vásárhelyi.

“This is why it is crucial for online platforms to monitor and ensure equal opportunities for all users, preventing algorithms from unintentionally reinforcing unconscious discrimination.”

(passed in an extraordinary procedure with 136 votes in favor and 27 against) stipulates that assemblies in Hungary may only be held if they respect children’s rights to proper physical, intellectual, and moral development, effectively banning gatherings that violate provisions of the child protection law. Opposition Momentum party MPs disrupted the vote by lighting smoke flares, playing a recording of the Soviet national anthem, and scattering flyers from the first floor onto the chamber floor. Despite the ban, organizers said they planned to hold this year’s Pride march.

Hungary, U.S. to Focus on Shared Interests, Says Deputy Minister

Hungary and the United States will concentrate on their shared interests rather than their differences in the future, Deputy Minister Levente Magyar of the Ministry of Foreign Affairs and Trade said following a meeting with Robert Palladino, the new chargé d’affaires of the U.S. embassy. According to a ministry statement yesterday, Magyar said Palladino expressed a desire to mend bilateral ties, which he noted had deteriorated under the previous Democratic administration. Magyar emphasized the significance of how Palladino would handle Hungarianrelated matters. The Deputy Minister added that, during the meeting, which was also attended by State Secretary for Security Policy and Energy Security Péter Sztáray, both sides agreed that restoring peace in Ukraine is the top priority and that the United States and Hungary would cooperate on this goal in the international arena.

In this picture released by the Ministry of Foreign Affairs and Trade (KKM), the new Chargé d’Affaires of the Embassy of the United States in Budapest, Robert Palladino (left), meets with Deputy Minister Levente Magyar of the Ministry of Foreign Affairs and Trade on March 11, 2025.

Photo by KKM / MTI

Assistant professor Orsolya Vásárhelyi of Corvinus University.

2 Business

Ryanair Expands Flights, Tempts Gov’t With Promise of 80% Capacity Increase

The Irish budget carrier is adding new routes for Budapest in its summer schedules and has dangled the prize of a substantial expansion in Hungary if the authorities pledge to control airport charges.

Ryanair has announced two flights each way per week connecting the Hungarian capital to Castellón (Spain), Katowice (Poland), Liverpool (United Kingdom), and Toulouse (France), starting at the end of this month.

The additions are expected to raise the airline’s passenger numbers through Ferenc Liszt International Airport to 5.6 million this year, an increase of 13% on 2024. It means some 640 weekly flights linking the city to 68 destinations across the continent, a record for Ryanair, Ray Kelliher, director of route development, told a press conference in Budapest on March 11.

The expansion will also mean one more aircraft based in Budapest, raising the total to 10, meaning the airline’s operations will have created

4,200 jobs directly and indirectly in Hungary, he said.

Kelliher, part of a posse of Ryanair managers touring Central and Southeastern Europe, was keen to underline that the new flights had resulted from the Hungarian Government’s move to scrap what he termed the “aviation taxes” from Jan. 1 this year.

The tax, described soon after its introduction in mid-2022 by Ryanair CEO Michael O’Leary (noticeably absent from this year’s delegation) as the “ludicrous and idiotic excessprofits tax,” has long been a bone of contention for the Dublin-based carrier. According to O’Leary, Ryanair slashed its Budapest routes from 53 to 45 in the winter of 2022-3 as a direct result of the tax.

Ryanair’s celebrations from the abolition of the levy have been tempered by what the airline says is the unexpected increase by 6% (in euro terms) of airport charges.

‘Unjustified Charges’

“Whilst it is extremely positive to see the pro-growth steps being taken by the Hungarian Government to lower access cost[s] at Hungary’s airports, it is concerning to see airports, such as Budapest, attempting to derail this by opportunistically clawing back some of the tax through excessive and unjustified airport charge increases,” Jason McGuinness, Ryanair CCO, stated in a press release issued at the conference.

Critically, both McGuinness (who was also present) and Kelliher repeatedly warned that the increase in airport charges, which came, they said, despite an earlier promise that there would be no rise in fees this year, threatened Ryanair’s expansive mid-term plans to increase services not only to Budapest but also to regional airports in Debrecen and Balaton.

Ryanair targets CEE Growth

Ryanair has high hopes for growth in Central and Eastern Europe over the next decade. According to Jason McGuinness, traffic is expected to grow from the current nearly 40 million passengers per annum (approximately 21% of the airline’s total 180 million) to “somewhere closer to 100 million of the total 300 million,” around 30% of the carrier’s total expected in 2034.

“We want to increase traffic [in Hungary] over the next five years by about 80%, so we want to grow from [the] approximately 5-5.5 million passengers that we’re doing today, per annum, to about 9 million by adding

40

new direct connections to Hungary, including starting operations to Balaton and Debrecen, and basing about six additional aircraft to Hungary, not all necessarily in Budapest,” Kelliher said.

This would create 180 “highly paid aviation jobs” and mean an “investment” of USD 1.6 billion in Hungary, he added (Ryanair typically suggests the cost of each airplane is an investment into the country).

Tough Conditions

However, the no-frills carrier is playing tough on the conditions for this promised aviation bonanza. As Kelliher stated, the “asks” include a government commitment

“We are Poland’s largest carrier at the moment. We have 40 aircraft based [there], and we’re working with the Polish Government to work towards 100 aircraft based in Poland by 2034, as an example,” McGuinness told the March 11 press conference.

In Sofia, Ryanair has announced two new routes for this summer, Pisa and Frankfurt-Hahn, bringing the total destinations served to 25. Tirana is another airport

that the aviation tax will not be reintroduced “at any time.” In its press release, Ryanair also demanded an “immediate” reduction in airport charges, although this was not explicitly stated in the press conference.

Intriguingly, the airline squarely blamed Vinci, the French airport operator, for the alleged rise in airport fees, although it only owns 20% of the airport operating company, with the government controlling the remaining 80%.

“Vinci is the same French concessionaire that currently has all the Portuguese airports. If you look at somewhere like Lisbon, charges are up 70% since 2019 [...]. Belgrade airport, which they manage, they’ve built an extra terminal and a new runway, but Belgrade airport is empty. Why? Because the charges are in excess of EUR 40. My concern is [...] the French concessionaire is not as invested in Hungarian tourism as we are,” McGuinness said.

In response to questions from the Budapest Business Journal for comment on the Ryanair charges, Budapest Airport replied via email.

“Budapest Airport, as per its publicly available tariff manual, has revised the effective airport charges from April 1, 2025, by 4%.

The publicly available incentives, for airlines who wish to grow their business have not changed.”

It continued, “BUD [the airport operator] is detained and controlled at a large majority by Hungarian public investment arm. It also benefits of the Vinci know-hows as Vinci Airports is operator of the airport. Regarding annual charges consultation, it is a recurring exercise at Budapest Airport, in line with the prevailing regulation.”

As to the accusation that Vinci has raised fees at Lisbon airport by 70% since 2019, its headquarters in France responded bluntly: “It’s wrong. Charges have [been] raised following inflation rate. During this time, i.e., between 2019 and 2024, traffic at Lisbon airport rised [sic] by +12%, and Ryanair’s [own] at LIS [increased] by +13.2%."

As for Belgrade airport being “empty,” Vinci France retorted: “It’s wrong, Belgrade airport served 8.36 million passengers in 2024, up by 5.3% compared to the year prior, and 36% more than in the pre-pandemic 2019.”

targeted by the budget carrier, adding two new routes this month, bringing the total destinations to 23 to the Albanian capital. “ I think within the next 5-10 years, Albania will be competing very aggressively for the holiday product with the Greek islands and southern Italy. The issue really is how much [of this growth] will be in Hungary, ’cause you do have all the other countries in CEE competing for that,” McGuinness told the BBJ

Ryanair managers promote the new summer 2025 flights in Budapest.

Photo by Ryanair

Óbuda Group Strengthens Leadership Team With Executive Appointments

Óbuda Group, a key player in the Hungarian construction market, has strengthened its senior leadership team with two new executive appointments, the group tells the Budapest Business Journal

Gábor Horváth has been appointed deputy CEO, responsible for the project management division, while Ottó Vörös will serve as deputy CEO overseeing operations.

Óbuda Group recently merged its architect and project management areas, becoming one of Hungary’s most significant architect and engineering consultancy firms. As part of the merger process, the new top management appointments support the company’s strategic objectives.

“The integration process and our focus on further growth requires us to continue building our organization with a largescale corporate mindset. A major aspect of this approach is highlighting key individuals and expanding our senior management team to respond to our customers’ needs even more effectively and comprehensively while leveraging the synergies already available,” said Péter Kálmán, CEO of Óbuda Group.

“I am convinced that expanding the company’s senior leadership team with outstanding professionals will contribute to the success of our partners and our team members, fostering shared growth and development,” he added.

Gábor Horváth has 35 years of experience in the construction industry, including the infrastructural, public utilities, and nuclear sectors. He graduated from the Technical University of Cluj-Napoca and the Budapest Business University as a structural and civil engineer and an engineer-economist. Horváth joined Óbuda Group in 2014 as a director. Before that, he was head of the engineering department at the Budapest Waterworks. His name is associated with significant projects such as the

portfolio management of Liget Budapest, project management of Gellért Campus, and overseeing engineering services related to the Paks Nuclear Power Plant. In his new role as Deputy CEO, Horváth is responsible for the project management division. With his extensive professional expertise and leadership experience, he will contribute to the division’s efficiency and foster growth while supporting the company’s long-term vision and strategic goals.

“Project management is not only a profession but also a vocation and a responsibility, both of which are essential for the successful delivery of complex development projects,” Horváth said, commenting on his appointment.

“The key to investment success lies in forward-thinking, professional excellence, efficiency, and innovation. My aim is to further strengthen this approach within the company, ensuring continuous progress and the fulfillment of the highest quality standards,” he added.

Ottó Vörös has more than two decades of management and financial experience in real estate management, financial planning and operational management within both international and domestic corporations. He graduated from Budapest Business University and Lincoln University, holding a bachelor’s degree in economics and business, as well as an MBA.

Before joining Óbuda Group as deputy CEO in early 2025, Vörös served as deputy CEO of Robertson Property Management. Previously, as country manager and managing director of Immofinanz’s local subsidiary, he managed a significant real estate portfolio.

“Óbuda Group is a dynamically developing major company within the construction industry, whose scale, market position, and client-focused approach provide strong fundamentals for further growth,” Vörös said.

“I firmly believe that my expertise gained in multinational corporate environments can contribute to this development and strengthen

both domestic and international efforts. The firm’s forward-thinking mindset and core values are perfectly aligned with my professional philosophy, making this an exceptionally exciting and inspiring new chapter for me,” said Vörös.

Managing Director Named for Hankook’s Sales Office in Hungary

As of Jan. 1, Dongchul Kwon has taken over the leadership of Hankook’s Budapest office, Hankook Tire Budapest Kft. With years of experience in the field, his primary task will be strengthening Hankook’s market position in Hungary. The experienced professional replaces Sung Won Min , who will be responsible for the European marketing strategy.

Dongchul Kwon graduated from Korea University with a degree in business administration and joined Hankook’s global sales team in 2010. A year later, he relocated to Indonesia, where he worked as an expatriate sales professional for six years. Next, he continued his career in Thailand, handling similar responsibilities for another two years.

After gaining eight years of international experience, he worked at Hankook’s worldwide headquarters in South Korea as part of the team responsible for global sales strategy. Following that, he spent four years as managing director of the company’s subsidiary in Egypt.

With his current appointment, Dongchul Kwon faces a new challenge: focusing on the needs of a European market, the company notes. He aims to leverage his international experience in distribution, pricing, customer relations and warehouse sales.

“Hankook is a leading tire brand in Hungary, widely recognized by customers as a domestic brand.

In the coming period, our primary goal is to achieve qualitative growth and increase sales of our high-value-added products, such as the iON tires developed specifically for electric vehicles,” the newly appointed managing director said.

“Additionally, through active marketing efforts, we aim to further enhance Hankook’s premium brand image in Hungary,” he added.

HR Director Appointed at Fleet Management Company

Ayvens Ayvens Hungary, the country’s largest fleet management and mobility service provider created by the merger of ALD Automotive and LeasePlan, has appointed Klára Somogyi as its HR director.

Somogyi brings more than 15 years of professional experience in the HR field to Ayvens Hungary. Prior to joining the company, she served as the HR director of RTL Hungary, where she was responsible for building, developing, and managing the company’s newly established HR directorate.

Her responsibilities included HR control, performance evaluation, employee well-being initiatives, and improving employee satisfaction. She spent a total of nine years in leadership at the television network. Before that, she worked as the HR director for Volvo Hungária Kft.’s heavyduty vehicle division. She also held advisory and project management roles in recruitment firms such as Randstad and ProfiPower.

In her new role, Somogyi will oversee the entire HR function and internal communications at Ayvens. She will be responsible for strategic planning, performance evaluation, employee skill development, workforce satisfaction and well-being, recruitment and selection processes, as well as payroll management.

“I chose Ayvens because my first impression was that employees are truly at the center here. I can easily identify with the company’s core values: commitment, collaboration, integrity, and curiosity. I also strongly believe in sustainable mobility and a customer-centric approach. Additionally, from a professional standpoint, supporting the integration process presents an exciting challenge,” said Somogyi.

She added that in the coming period, her focus will be on stabilizing the HR team, redefining and optimizing processes, supporting employees through the integration process, and understanding workforce needs.

Gábor Horváth

Ottó Vörös

Klára Somogyi

Sung Won Min

Erste Purchase Proves ESG key to Major Investment Deals

ESG issues are becoming central to transactions at the high end of the commercial real estate markets, as exemplified by the purchase by Erste OpenEnded Real Estate Investment Fund of two HelloParks warehouses totaling 84,000 sqm from Futureal Group’s industrial property arm.

says Balázs»Pázmány, chairman of the board at Erste Alapkezelő.

“Both buildings fully meet the quality and sustainability criteria that are essential for Erste Real Estate Fund’s investment decisions. We seek future-proof properties that provide long-term stable returns and added value, and this deal clearly reflects our commitment to highquality, ESG-compliant industrial investments,” he adds.

Rudolf Nemes, CEO and co-founder of HelloParks was equally pleased with the deal.

“Increasingly stringent EU regulations are prompting Hungarian tenants to choose warehouses that support their sustainability goals,” he says.

“These developments, however, require significant investment, outstanding teamwork, and expertise, all generating measurable added value. It is no coincidence that investor activity in Hungary’s industrial-logistics real estate market is intensifying, particularly in high-quality, ESG-compliant facilities, forecasting further sector growth,” Nemes adds.

ventilation, air conditioning, water, and electrical systems while detecting potential leaks.

Remote Adjustment

Tenants have complete control over their spaces via HelloParks’ proprietary mobile app, which connects to the BMS, allowing remote adjustments to heating, ventilation, and lighting and real-time monitoring of utility usage and technical data, according to the prolific developer and industrial park operator.

HelloParks has eight pipeline projects that have achieved the “Outstanding” or “Excellent” rating in Breeam New Construction.

Green Matters

A monthly look at environmental issues in Hungary and the region

will be maintained in the existing and emerging rating systems in the future. A major challenge for the future, or rather the present, is the integration of carbon reduction efforts for existing and future buildings,” she adds.

Cities Adopt Regulations for CEO Emissions

“The most widely used sustainability rating systems, such as Breeam and Leed, cover a broad spectrum of a building’s sustainability performance and, in some systems, even the processes that led to the construction of the building,” comments Anna Bencze, head of sustainability at HelloParks.

European cities are adopting regulatory guidelines that create a target for reducing CO2 emissions from existing buildings, which directly impact air quality and life quality, according to a roundtable at the Mipim expo.

“Acquiring HelloParks’ warehouses is a significant step for us in becoming a prominent investor in the rapidly advancing industrial real estate development sector,”

HelloParks says it has incorporated cutting-edge technology to maximize operational efficiency in its warehouses. The buildings are equipped with heat pump-based cooling and heating systems and feature rooftop solar panels capable of reducing offices’ primary grid energy consumption to zero.

An intelligent building management system continuously monitors and optimizes heating,

Mipim Awards Jury Prioritizes Sustainability

“In addition to energy, wellbeing, and comfort of building users, transport and accessibility aspects, water and waste management, biodiversity and material use and circular economy aspects, many other sustainability aspects are assessed and included,” she explains.

“The wide range of criteria assesses not only the design content but also the construction process and the performance and operation of the completed building, for which there are different rating systems depending on the project phase, like ‘new construction’ or ‘existing buildings,’” Bencze says.

“This is fantastic, as for a building to be rated at a very high level, it is essential that it performs at a high level in all areas. I hope that this diversity

The Fuzja (Fusion) urban development in central Łódź has won the “Urban Regeneration Project Award” for Echo Investment and Archicom, as developers, and the Medusa Group as architects, at the Mipim real estate awards 2025. The project also won the “Special Jury Award.”

The redevelopment of the site of a former textile factory has delivered 90,000 sqm of commercial, residential and cultural space, with the 22 buildings including restored heritage structures.

“All projects by Echo Investment and Archicom can be distinguished by the initiatives taken to further the trend of sustainable development. They include lots of green space, measures to preserve biodiversity, and solutions to reduce their carbon footprint,” comments Echo Investment, which is majority-owned by the Hungarybased developer Wing and is listed on the Warsaw Stock Exchange.

Fighting Urban Sprawl

“We are fighting urban sprawl and, by area, 51% of the developments

For example, Milan plans to introduce a CO2 tax for building permits. Owners will need to prove that a building’s operation confirms with certain standards; if CO2 emissions are above these standards, taxes will be levied. This is for the benefit of the city and will be a new role model for other major towns to clean up the environment, comments Hubert Abt, CEO & founder of Workcloud24. This is a pragmatic way to preserve the values of buildings for the future as, if this is not done, “the owner risks losing 10-20-30% or more of the value of a building, or it could become a stranded asset,” Abt argues.

we have under construction or in the pipeline are mixed-use destination projects,” the firm notes.

In total, 10 categories of awards were given out at the Palais des Festivals in Cannes, with a shortlist of 39 projects from 22 countries chosen from 200 entered developments.

“This year, the jury focused on projects that seek to enhance the built environment’s prospects in line with ESG goals. The six key criteria are overall sustainability, originality of the concept, architectural qualities, interest of the project in its environment and the community, quality of the user experience and economic contribution,” comments Veronique Bedague, president of the jury.

“From a consideration of construction and operational carbon to climate and life cycle concerns, prizes went chiefly to projects that best serve their endusers and wider communities while making a contribution to the economy,” Bedague adds.

GARY J. MORRELL

The Fuzja mixed-use project in Łódź by Echo Investment.

News Company

ANY Net Income Jumps

86% to HUF 7.9 bln on Passport Exports, Margins

The net income of ANY Security Printing rose by 86% to HUF 7.9 billion in 2024, driven by passport exports and higher margins, according to a release published on the Budapest Stock Exchange website on March 10. Net sales climbed 27% to HUF 70.5 bln, while the cost of sales rose 21% to HUF 45.8 bln, boosting gross profit by 40% to HUF 24.7 bln. CEO Gábor Zsámboki said passport exports were the “main driver” of growth in 2024. Exports accounted for 56% of total revenue, up slightly from 55% in 2023. Africa remained the company’s largest export market, though ANY also shipped products to 20 countries across Europe and maintained business relationships in Asia and South America. The board will propose a HUF 450-per-share dividend.

Audi Hungaria Revenue

EUR 8.6 bln in 2024, EUR 340 mln Reinvested

German-owned automaker Audi Hungaria generated revenue of EUR 8.611 billion in

2024, the company announced, according to a release published on the website of the Budapest Stock Exchange on March 18. Audi said it reinvested EUR 340 million last year to prepare for the serial production of the next-generation MEBeco platform and the successor to the Audi Q3. Since its base in Győr (120 km west of Budapest) opened in 1993, Audi says it has invested a total of EUR 12.9 bln. In 2024, the company produced 1,580,991 drive trains, including 151,899 electric units, and rolled 179,710 vehicles off the production line, including 99,288 Audi Q3 models, 63,759 Audi Q3 Sportbacks, and 16,663 Cupra Terramar models. Audi Hungaria’s headcount reached 11,431, or 11,930 including staff at the shared services unit Audi Hungaria Ahead.

Lidl Hungary Named Top Employer for 4th Year

Lidl Hungary has been awarded the Top Employer certification for the fourth consecutive year, recognizing its commitment to outstanding

employee welfare, according to a press release. The company says it focuses on placing employees at the center of its operations, offering competitive salaries, comprehensive benefits, and a supportive work environment. Its HR strategy emphasizes continuous development and adaptability to technological and societal changes. Initiatives to boost employee satisfaction include health programs, additional leave for medical screenings, and premium benefits.

Mercedes CEO, Orbán Discuss Hungary Expansion, EU Competitiveness

Ola Källenius, chairman and CEO of the Mercedes-Benz Group, was hosted for a working dinner by Prime Minister Viktor Orbán at his office in Budapest on March 18, according to state news agency MTI. The two reviewed the progress of Mercedes’ ongoing investments in Hungary, including the expansion of its Kecskemét (90 km southeast of Budapest) plant, the company’s second largest in Europe, which employs nearly 5,000 people. The expansion, set for completion by 2026, will create 3,000 new jobs and double annual production capacity to 400,000 vehicles.

BioTechUSA Tripling Protein Bar Output With HUF 9 bln Expansion

Hungarian-owned dietary supplement maker BioTechUSA has completed HUF 5.5 billion of a planned HUF 9 billion investment at its manufacturing and logistics base in Szada (30 km northeast of Budapest by road), CEO Bálint Lévai said during a site walk-through on March 12. Lévai noted that the expanded production capacity would triple

the company’s protein bar output and that new premium protein bars and a premium vitamin line would be added to its product range. The CEO said the new capacity is being tested and is expected to start serial production in the second half of 2025. The investment has been underway for three years, Lévai added. He also highlighted that solar panels

installed at BioTechUSA’s facilities will supply 30% of the company’s future electricity needs. The firm operates a total of 45,000 sqm of production and warehouse space at its sites in Szada and nearby Dunakeszi (20 km north of Budapest). It produces 75 million protein bars, 20,000 tonnes of protein powder, and one billion tablets and capsules annually.

BioTechUSA CEO Bálint Lévai.

The pair also discussed the global trade environment and ways to boost the European Union’s competitiveness.

MOL Announces Oil Field Discovery in Western Hungary

Oil and gas company MOL has discovered a new oil field near Somogysámson (185 km southwest of Budapest by road) capable of producing 1,200 barrels per day, equal to around 1% of the group’s total hydrocarbon output, according to a press release. Zsombor Márton, MOL’s vice president for exploration and production, called the find “clear evidence” of further potential for hydrocarbon production in Hungary. He added that MOL’s oil fields in Vecsés (25 km southeast of central Budapest), Tura (50 km northeast of the capital), and gas fields in eastern Hungary have pushed domestic production to a five-year high.

Photon Energy Adds 5.1 MWp Solar Capacity in Hungary

Photon Energy NV announced that its Hungarian subsidiary, Photon Energy Solutions HU Kft., specializing in engineering, procurement, and construction services, has completed the construction and grid connection of three photovoltaic power plants, adding 5.1 MWp to Hungary’s renewable energy capacity, according to a press release. “We are proud to have further expanded our portfolio of operating solar power plants in Hungary with an additional 5.1 MWp capacity,” said Georg Hotar, CEO of Photon Energy Group. “With this new expansion, our portfolio in Hungary has grown to 67 power plants, representing a total installed capacity of 57.5 MWp, demonstrating our dynamic development in the Hungarian market,” he added. The newly commissioned large-scale projects—Tolna 2, Tolna 3, and Tolna 5—are expected to generate nearly 6.28 GWh of clean electricity annually.

Wizz Air to Launch Budapest-Mumbai Route: Is New Delhi Next?

Hungarian low-fare carrier Wizz Air will launch a direct daily flight between Budapest and Mumbai before the end of the year, Minister of Foreign Affairs and Trade Péter Szijjártó said in New Delhi on March 18, according to origo. hu. Szijjártó added that a direct flight connecting Budapest and New Delhi could follow, noting that the first steps had been taken to amend the bilateral aviation agreement. Following talks with several Indian government ministers, Szijjártó said the absence of a direct flight between Hungary and India was a significant barrier to boosting bilateral trade and economic ties. He added that a direct connection could strengthen business, education, diplomatic, and tourism relations. Szijjártó emphasized that Hungary and India have built “outstanding cooperation” based on mutual respect, generating significant economic benefits.

Kész Group Expands Presence in Romania

Hungarian construction giant Kész Group has continued to expand its international presence by launching a new manufacturing facility in Moldovenești (Várfalva to Hungarians), near Turda, Romania. The nearly HUF 2 billion greenfield investment was supported by substantial government funding through the Hungarian Export Promotion Agency

The facility will enable the Romanian subsidiary to diversify its activities beyond construction and renovation, entering the market for metal structures and heating, ventilation and air conditioning components. The expansion underscores Kész Group’s ambition to become a significant player across Central and Eastern Europe.

The plant, which cost HUF 1.8 bln, received HUF 761 million in support from Hepa’s Foreign Market Growth Support Program. The facility will initially employ 13 people, with plans for future expansion.

The new facility marks a strategic shift for Kész in Hungary’s eastern neighbor. The firm has been active in the Romanian construction sector for more than 20 years.

Current projects include the construction of the Corallis Apartments, a EUR 51 mln residential development in Bucharest financed by the group, and the development of the Artificial Intelligence Research Institute at the Technical University of Cluj-Napoca.

Further key projects include a wellness and spa center in Covasna and the construction of a new Stihl factory. Alongside industrial, logistics, and retail complexes, it has also been involved in some notable heritage restoration projects. These include the Kálnoky Castle in Micloșoara (known to Hungarians as Sepsikőröspatak) and the renovation of the historic St. Michael’s Church in Cluj-Napoca, which earned the prestigious Europa Nostra award, recognizing excellence in heritage conservation across Europe. It is also renovating the Mathias Corvinus Collegium building in Oradea.

Expansion Plans

Tamás Vida, CEO of Kész Group, emphasizes the importance of the new facility within the broader corporate strategy, highlighting how it contributes significantly to the group’s international expansion goals.

“Kész Romania plays a crucial role in achieving our ambitious objectives. Over the years, we’ve been involved in several landmark projects abroad, and this latest manufacturing plant, developed in cooperation with Hepa, represents another critical milestone in strengthening our presence and capabilities in the region,” he says.

The new plant has been designed with future expansion in mind, allowing flexibility to adapt swiftly to changing market demands. István Albu, head of the Romanian subsidiary, noted that the facility will enable the company to participate in new types of projects, including those where

it previously might not have been competitive as a general contractor.

“Our goal is to leverage this new manufacturing capability to access projects requiring specialized components, expanding our customer base and enhancing our market competitiveness,” Albu explains.

Kész Group now has established operations in five countries, with Germany, Serbia, and Ukraine alongside Hungary and Romania. Vida highlighted the importance of adaptability in international expansion.

Regional Demand

“We are continually investing in our capabilities to better meet regional market demands. Our strategic goal is clear: to become a dominant regional player known for delivering comprehensive solutions with the highest standards of quality and innovation,” Vida says.

By integrating manufacturing capacities into its already robust construction services, Kész Group claims to be positioning itself uniquely within the region’s competitive landscape, enabling the firm to offer vertically integrated solutions that streamline project timelines and improve cost efficiency.

Kész Romania’s leadership team anticipates robust growth in demand for locally produced construction and engineering components, driven by increasing industrialization and infrastructure development throughout Romania and neighboring countries. The Moldovenești facility will serve as a key pillar

in supporting the company’s vision for sustained growth, providing a scalable foundation for future expansions and further investments.

“Kész Romania plays a crucial role in achieving our ambitious objectives. Over the years, we’ve been involved in several landmark projects abroad, and this latest manufacturing plant […] represents another critical milestone in strengthening our presence and capabilities in the region.”

The strategic investment into manufacturing also aligns with broader regional economic trends, which emphasize increasing localization of production to mitigate supply chain risks, enhance responsiveness to customer needs, and contribute positively to local economies through job creation and technology transfer.

As Central and Eastern Europe continues to attract foreign direct investment and undertake substantial infrastructure improvements, Kész Group’s capacity expansion positions it advantageously for sustained market leadership.

Photo by Kész Group

Tamás Vida (at left, in glasses), CEO of Kész Group, is shown around the new facility in Romania with Deputy Minister Levente Magyar of the Hungarian Ministry of Foreign Affairs and Trade (second right).

3 Asia Focus

Japan About More Than Autos in Hungary, but Rising Costs Raise Clouds

In late January, Mihwa Lee was in strange surroundings: standing at a table in the Japanese embassy residence, up in the Buda Hills, for two hours, she was hard at work marketing the subtle characteristics of Japanese green teas.

However, perhaps due to the steadily growing interest in international cuisine in today’s Hungary, Lee hopes for concrete success.

The mood in the room was relaxed, if busy, but Lee felt the responsibilities of duty: this was not only her first time in Hungary, it was her first time representing Ujinotsuyu Seicha, a venerable Japanese green tea company founded 230 years ago, and based in Kyoto.

In typical Japanese style, Ujinotsuyu Seicha painstakingly assesses and examines every detail of its production, from the plantation bush to enclosing its tea bags in aluminum foil to preserve even the faintest of flavors. Inevitably, again, as is typically Japanese, with every product, there comes a history not easily explainable to a potential client hailing from a far-off culture.

“Promotion is absolutely one of the hardest parts when introducing authentic Japanese tea, especially where people are not so used to drinking the beverage,” Lee told the Budapest Business Journal

“This time, I got to talk to several business owners who each had an amazing passion for tea education, so I am excited to keep in touch with them. This event was a very precious opportunity to kick off and to raise peoples’ awareness of Japanese tea,” she said.

It’s the kind of news that is music to the ears of Yasunari Miyauchi, general director of the Japanese External Trade Organization (Jetro) office in Budapest, which helped arrange the visit of Lee and others to Hungary.

“I think many Japanese food companies are interested in Hungary and all Central European countries.

There are opportunities, so I think [the promotion] was basically successful. Some companies probably had some orders; the amount is not so big, but they will have results. [...] Japanese food is one of the four main pillars, areas of focus, for Jetro,” he told the BBJ

However, in Hungary, mention of Japan is usually associated with automakers,

Anime: The Astonishing Impact of Japanese Soft Power

It may come as a surprise to many outside the specific cultural bubble, but Japanese animation films, essentially comic character stories made into film, have an almost cult following among European youth, including Hungarians.

“Whenever I meet young Hungarian people who speak Japanese, I always ask why they have learned the

language, and many simply reply:

‘I love Japanese anime.’ It was very surprising for me to hear this at first because for Hungarian people to learn Japanese, it’s such a difficult language,’ says Jetro’s Yasunari Miyauchi.

However, the interest in such animations, which inevitably tend to use relatively simple language, has spawned numerous websites

and for good reason: Suzuki has had a significant manufacturing operation in the country at its base in Esztergom, 47 km northwest of Budapest by road, since the early 1990s. Its 2,800 employees produced revenues of almost EUR 2.9 billion, according to the latest 2023 figures.

Miyauchi calculates that 50-60 Japanese companies have operations in Hungary within the auto sector, including the growing electric vehicle battery market.

These include recent arrivals, such as Foster Electric, which manufactures automobile sound equipment from its base in Mór, 85 km southwest of the Hungarian capital, and Nippon Paper, which has established a chemical plant in Vácrátót, 44 km northwest of Budapest. Producing cellulosebased additives for batteries and with a workforce of 60, this plant is expected to bring annual sales of EUR 50 million when production is in full swing.

Further afield, Seiren Hungary, with its EUR 43 mln plant in Pécs, 198 km southwest of Budapest, has been producing synthetic leather for car seats since 2023.

“The size is a bit small in comparison to some of the Chinese and Korean mega-

and social media groups globally. Though chiefly attracting younger people, these naturally promote understanding and awareness of Japan.

“In that sense, as Jetro, we like to [support] Japanese content [films]. The Japanese Foundation [responsible for culture] has an office and library on Oktogon. Culture is one of the very important elements for our business promotion,” Miyauchi stresses.

The Jetro Director From Southern Japan

Yasunari Miyauchi, 56, was born in Kagoshima prefecture, on the southern Japanese island of Kyushu and graduated in economics at the prefecture’s university.

Joining Jetro in 1991, he served in the Fukuoka and Miyazaki offices (both on Japan’s Kyushu island) and abroad in Sydney, Toronto, and now Budapest.

Miyauchi is married with two daughters. His wife keenly appreciates Hungarian embroidery, a favored interest of Japanese women.

Asked for his favorite sake, Miyauchi confessed he prefers shōchū , the Japanese rice spirit for which his hometown is famous.

“We can see Japanese shōchū in stores here, sometimes, but it’s very expensive, 10 times the price in Japan.”

investments, but some Japanese companies are still investing here in Hungary,” Miyauchi is keen to point out. More may be in the pipeline: Suzuki is understood to be mulling manufacturing bases for new EV hybrid models, for example, but with no decisions yet made public as to where. However, trends in recent years have not encouraged Japanese investment in manufacturing, Miyauchi notes, citing inflation and wage growth as prime concerns.

“Some Japanese companies have considered new investment here, but others have given up because of increased costs. Their eyes are looking to the Balkans or North Africa because this kind of automotive industry company is very cost-sensitive,” he says.

Asked if he could estimate the percentage of companies with serious intentions of investing in Hungary that later withdrew, Miyauchi answered:

“I think when my predecessor was here one year ago, more than 10 companies were investigating [possibilities]; at least Hungary was one of the candidate countries. But now I think almost no companies are [interested] because the inflation is too high for them.”

There are also concerns about fastchanging regulations, with little time to adjust to the new conditions, an even bigger issue in a country where consultation and consensus are valued even more highly than in Western cultures.

“Japanese companies take time to consider their decisions, but once we decide, we come here, and we like to stay, and not leave. That’s the Japanese style,” he said.

China and Hungary on a ‘Golden Voyage’ of Cooperation

China’s Ambassador to Hungary

Gong Tao gives the Budapest Business Journal his evaluation of the Chinese-Hungarian trade and cultural relations and the dangers posed to free trade by tariffs, wherever they come from.

BBJ: How do you evaluate ChinaHungary investment cooperation and its prospects?

Gong Tao: As President Xi Jinping wrote in an article published upon his state visit to Hungary last year, the China-Hungary relationship is at its best in history and has embarked on a “golden voyage.” The investment cooperation between the two countries is constantly yielding new outcomes. According to Hipa, Chinese investment in Hungary in 2024 reached EUR 5.28 billion, accounting for 51% of Hungary’s FDI and making China its largest source for two consecutive years. Integrating themselves into the local supply chain, the many Chinese NEV [new energy vehicle] companies in Hungary contribute to a more substantial agglomeration effect. In 2025, the CATL plant in Debrecen and the BYD plant in Szeged are due to be inaugurated. The construction of the factories of EVE Energy in Debrecen and Sunwoda in Nyíregyháza are well underway. Furthermore, in the equipment manufacturing industry, Zoomlion will set up an aerial work platform factory. In frontier areas such as artificial intelligence, robotics and 6G, China and Hungary also enjoy immense potential for cooperation: Keenon Robotics’ empowerment of the renowned tourism industry of Budapest is a case in point. China-Hungary cooperation can be put into perspective in the larger context of China-EU cooperation, where Chinese enterprises based in Hungary embrace the whole of Europe. CATL and EVE Energy supply components to German automakers, which is a good example of China-EU cooperation. This year marks the 50th anniversary of diplomatic relations between China and the EU. The experience of the past five

decades tells us that the most robust driving force of China-EU relations is win-win cooperation and that there has long been a deep interconnectedness between China and the EU. At the NPC [National People’s Congress] and CPPCC [Chinese People’s Political Consultative Conference] annual sessions that just concluded, China reaffirmed its commitment to expanding high-standard opening-up, stabilizing foreign trade, encouraging foreign investment, promoting high-quality Belt and Road cooperation, and deepening bilateral, multilateral and regional economic cooperation. Both China-EU and China-Hungary cooperation are bound to usher in a brighter future.

BBJ: In 2024, the EU imposed additional tariffs on electric vehicles produced in China. The Trump administration also took similar actions against Chinese goods in 2025. How do you view the impact of tariffs?

GT: The EU’s move is a typical protectionist act that ignores facts, disregards WTO rules, and undermines global efforts to address

China is both the biggest beneficiary and the most significant contributor to the multilateral trading system. It has been the world’s second-largest import market for 15 consecutive years. Last year, its imports accounted for 10.6% of the global total. China will firmly safeguard the free trade system, further open up to the world, and provide more opportunities for the rest of the world.

“As defenders of the multilateral trading system, China and Hungary will jointly promote a universally beneficial and inclusive economic globalization and inject sustained stability into world economic development.”

As Prime Minister Orbán rightly said, countries should deepen connectivity rather than resort to protectionist measures. As defenders of the multilateral trading system, China and Hungary will jointly promote a universally beneficial and inclusive economic globalization and inject sustained stability into world economic development.

BBJ: Besides economic and trade cooperation, what role do peopleto-people exchanges play in ChinaHungary relations?

climate change. Although green initiatives stand out as a distinctive feature of China-EU cooperation, the EU now stands in the way of the green transition it advocates. China appreciates Hungary’s fair position against tariffs and hopes the EU will stop politicizing economic and trade issues and work with China to explore proper solutions.

The new U.S. administration threatens to impose tariffs against China, the EU and many other countries, causing serious damage to the global free trade order. Tariffs and trade wars serve the interests of no one; this is a prevailing consensus in the world. Now, years into its tariff and trade wars, the U.S. trade deficit exceeded USD 910 bln in 2024 instead of falling as the U.S. had expected. It should learn the lesson and change course. ChinaU.S. economic and trade relations work both ways. If the U.S. chooses cooperation, mutual benefits and win-win results can be achieved; if it insists on exerting pressure, it will be met with China’s countermeasures.

GT: Despite our geographical distance, the Chinese and Hungarian peoples share a growing affinity. In 2024, the Renmin University of China and Zhejiang Conservatory of Music each set up a collaborative center with Eötvös Loránd University, the China Cultural Center in Budapest started operation, and the Confucius Institute at the Hungarian-Chinese bilingual school was unveiled. The Hungarian National Male Choir performed in China, and the renowned pianist Balázs Havasi presented a wonderful performance at the Mid-Autumn Festival Gala in China, both of which were loved by the Chinese audience. The “Fine Dining: Food Stories of Ancient China” and “Chinese Xieyi: Art from the National Art Museum of China” exhibitions showcased the unique charm of Chinese culture in Budapest. Similarly, the “Crowned Jewel of the Austro-Hungarian Empire: Queen Elizabeth and the Art of Her Era” and the “Golden Journey: Hungarian Numismatic History” exhibitions gave the Chinese people another window into Hungarian history and culture. I am sure further mutual learning between the two civilizations will lend more impetus to our bilateral relations.

BBJ STAFF

Chinese Ambassador Gong Tao speaks at a ceremony at the Chinese Cultural Center in Budapest on Jan. 21, 2025, celebrating an issue of stamps by Magyar Posta to mark the Chinese New Year and the Year of the Snake.

Photo by Noémi Bruzák / MTI

Obituary: Osamu Suzuki, the man who Brought Auto Manufacturing to the Banks of the Danube

Osamu Suzuki, the businessman who led his eponymous motor company for more than four decades, died of lymphoma in his native Japan on Christmas Day, 2024, aged 94.

He only adopted the name Suzuki in the late 1950s upon marriage to his wife, Shoko, the granddaughter of the patriarch of the Suzuki Motor Corporation, Michio Suzuki.

his professional life in a local bank.

Described in his Reuters’ obituary as “an ingenious penny pincher,” Osamu Suzuki worked his way up through the company, becoming chairman and CEO in 1978. Under his leadership, Suzuki accelerated its overseas expansion program, most notably entering India in 1982 in a process that has made Maruti-Suzuki the country’s leading automaker, an achievement understandably featuring in every obituary about the former industrialist.

Far less acknowledged was his company’s pioneering investment in Hungary, establishing the Magyar Suzuki car plant at Esztergom, 50 kilometers north of Budapest, in 1990-2. This project brought Suzuki into contact with Péter Ákos Bod, at the time Minister of Economy and Trade in the cabinet of Prime Minister József Antall.

Alpine to Invest HUF 21 bln in Biatorbágy Expansion

Japanese-owned electronics manufacturer Alpine will invest HUF 21 billion to expand capacity in Biatorbágy (22 km west of central Budapest), Minister of Foreign Affairs and Trade Péter Szijjártó announced in a post on his Facebook page on Feb. 27. He said the government would support the investment with HUF 3 bln, and the project is expected to create more than 100 jobs.

Fiberhome’s

Zettanet

Inaugurates

Kisbér Cable Plant

Zettanet , the local unit of Chinese telecommunications equipment provider Fiberhome , inaugurated a HUF 8 billion fiber optic cable plant in Kisbér (107 km west of Budapest

by road) on March 10. The plant will employ close to 150 people. Deputy Minister Levente Magyar of the Ministry of Foreign Affairs and Trade said Hungary welcomed Chinese investments and adopted policies promoting partnerships. The plant will have the capacity to turn out three million kilometers of fiber optic cable a year and is expected to generate an annual turnover of EUR 30 million, according to state news agency MTI.

Geely’s Farizon Enters Hungarian Market with Duna Autó

Farizon , the light commercial vehicle brand of Chinese automaker Geely, has been launched in Hungary with two model types available through its first local dealer, Duna Autó, the dealer and listed car seller AutoWallis announced in a joint statement. Geely Auto Group has signed an agreement with AutoWallis to serve as Farizon’s importer in Central

Bod well remembers their first encounter, and the strong impression made by the ambitious CEO.

“I first met Osamu Suzuki in the autumn of 1990, when he visited Hungary planning to build a plant. As a young minister, I was upbeat about the plan and tried to direct him to choose Miskolc or Ózd, both industrial cities in distressed areas with high and growing unemployment rates,” he recalled to the Budapest Business Journal . But the man from Gero had other ideas.

Spoilt by Communism

“He cut me short, in a very direct way, atypical as I thought in oriental

and Eastern Europe, expanding the listed car seller’s brand portfolio to 24. Duna Autó business development director Zoltán Markó said a few hundred Farizon vehicles could be sold in Hungary in the first year, with sales largely dependent on government subsidies for EVs. He added that it is realistic for Farizon to achieve a 20% market share in Hungary’s electric commercial vehicle segment.

Nissin Foods to Invest HUF 40 bln in 2nd Kecskemét Plant

Japan’s Nissin Foods will invest HUF 40 billion to build a second plant in Kecskemét (95 km southeast of Budapest), doubling production capacity, Minister of Foreign Affairs and Trade Péter Szijjártó said on Feb. 28, according to origo.hu. Szijjártó added that the Hungarian Government is supporting the investment with more than HUF 10 bln. Nissin Foods relies on local suppliers at its Kecskemét base while exporting 90% of its output. Currently, the facility produces more than 250 million units annually. Szijjártó noted that more than 200 Japanese-owned companies employ 30,000 people in Hungary.

business culture, claiming that the Hungarian industrial workers had been ‘spoilt’ in communist times,” Bod continued.

“Who would then build your car?” Bod asked, somewhat angrily as he remembers.

“Housewives and farmers,” Suzuki replied.

“Yes, the plant is now in Esztergom, a quiet rural town on the Danube,” Bod muses. It seemed an incongruous choice then, with the location more famed for its cathedral and ecclesiastical connections than any manufacturing prowess.

Regardless, the investment was a headline-grabbing project internationally and a significant fillip to Hungary’s brand and economy. A year or so later, Bod became Governor of the MNB, though he maintained his relationship with Suzuki.

“I later visited the Hamamatsu plant in Japan and met him several times at the national bank to discuss how to manage exchange rate volatility. He was always outspoken but friendly. He even contacted me with a job offer, but I had no intention to become CEO for Magyar Suzuki and give up the bank governorship, although I appreciated his suggestion,” he recalls.

Perhaps most pertinently, Bod added that Osamu Suzuki, unlike many from the Orient, “certainly said what he thought.”

KunlunChem to Build HUF 40 bln Electrolyte Plant in Szolnok

Chinese-owned KunlunChem will invest HUF 40 billion to build an electrolyte factory in Szolnok (105 km southeast of Budapest), its first plant in Europe, according to a post on the Facebook page of Minister of Foreign Affairs and Trade Péter Szijjártó. He said the facility would supply electric vehicle makers BMW and Mercedes , which operate factories in Hungary and will create 120 jobs. He emphasized that Hungary has become a “front-runner” in the electromobility transition, with German and Chinese manufacturers expanding side by side and generating tens of thousands of jobs. Szijjártó added tha China is “clearly dictating the tempo of change in the global economy” and highlighted that China remains Hungary’s top trading partner outside Europe and was the largest foreign investor in three of the past five years. Over the past decade, the government has supported 64 Chinese investments valued at a combined HUF 5.5 trillion, he said. KunlunChem ranks among the world’s five largest electrolyte producers.

Born Osamu Matsuda in Gero, a spa town in south-central Japan, the future automaker studied law and began

KESTER EDDY

Asian Investment

Osamu Suzuki in later life.

Photo by Wiki Commons

Osamu Suzuki, toasts success at a 1991 press conference in Budapest.

Photo by Kester Eddy

Hungary Becoming a Gateway for Asian Investment

Hungary has become a key gateway for Asian companies seeking to expand into Europe, particularly in high-tech industries such as electromobility, battery production, and advanced manufacturing. The Hungarian Investment Promotion Agency plays a central role in this success, fostering deep ties with Asian economies and positioning the country as a hub for cutting-edge industries.

14 Projects

Asian Investors Lead the Way

BENCE GAÁL

One of the most significant Asian investments in Hungary over the past year is the cathode material factory of Bamo Technology Hungary Kft., the local subsidiary of Huayou Cobalt, a leading Chinese high-tech company. The EUR 1.3 billion greenfield investment in the northern Hungarian town of Ács is a significant step in solidifying Hungary’s role in the European battery industry.

Beyond its economic impact, the investment is set to create 900 new jobs while also contributing to Hungary’s green transition. The plant will produce materials for the next generation of electric vehicle (EV) batteries, including those used in BMW’s new manufacturing facility in Debrecen.

“Hungary acts as a bridge between Western car manufacturers and Asian battery producers, in line with its policy of economic connectivity and economic neutrality,” explains Isván Joó, the CEO of Hipa.

As Asian economies look to expand their footprint in Europe, Hungary has emerged as a preferred destination,

offering access to the entire EU market, a stable business climate, and advanced infrastructure.

One of the most compelling success stories is the collaboration between Chinese battery giant CATL and German automaker Mercedes-Benz.

CATL’s new factory in Debrecen will produce next-generation battery cells for Mercedes-Benz’s CO₂-neutral electric vehicles, aligning with the carmaker’s local-to-local procurement strategy.

Instrumental Foresight

The Hungarian Government’s strategic foresight in recognizing the importance of electrification and the energy transition has been instrumental in attracting Asian investment, Hipa says.

It is undeniable that Hungary’s approach to investment promotion has yielded remarkable results, particularly in attracting capital from Asia.

In 2023, Hungary secured the highest amount of Chinese FDI in Europe, some 44%

of the total, surpassing Germany, France, and the United Kingdom combined. This trend continued last year, reinforcing Hungary’s status as China’s strategic partner.

“It is clear that Chinese capital and technology are key to restoring Europe’s competitiveness and many market players have recognised the potential of working with Chinese investors,” Joó notes.

Beyond China, South Korea and Japan have also increased their investment footprint in Hungary. South Korean firms are investing heavily in battery technology, while Japanese companies are expanding their presence in hightech manufacturing and precision

13,290 New Jobs EUR

8,257 mln Investment

Volume

engineering. These investments further diversify Hungary’s industrial base, ensuring long-term technological development and economic resilience.

The “Eastern Opening” policy, which the government introduced more than a decade ago when the Fidesz party of Prime Minister Viktor Orbán was returned to power in 2010 with a landslide victory, has played a pivotal role in this success. Countries engaged in this strategy accounted for EUR 8.2 bln in investment in 2024, representing some 80% of the total EUR 10.3 bln FDI volume facilitated by Hipa.

Sustained Transformation

By continuously strengthening ties with Asia, Hungary is ensuring sustained economic growth and industrial transformation. To that end, Hipa says it remains committed to deepening cooperation with Asia, viewing the “Eastern Opening” as only the beginning of a long-term success story. The next step in this strategy is to expand into new industries while maintaining Hungary’s strong position in electromobility and automotive manufacturing.

A defining milestone in this vision is the decision of Build Your Dreams to establish its first European car factory in Szeged, the university city

175 km southeast

of Budapest, by road. This landmark investment by China’s largest EV manufacturer is a game-changer, reinforcing Hungary’s status as a central hub for electric vehicle production in Europe. BYD’s presence is expected to create thousands of new jobs and further integrate Hungary into the global EV supply chain.

Source:

Beyond electromobility, Hungary is actively working to diversify its Asian investment portfolio into ICT, biotechnology, medical equipment manufacturing, robotics, and automation. Completing the battery value chain is another priority, particularly through the development of anode production. Hungary’s strategic location at the heart of Europe, combined with its stability and economic consistency, has proven to be a major asset in an era of geopolitical uncertainty. As global trade dynamics shift and the EU implements new regulatory frameworks, the agency notes that Hungary remains committed to economic neutrality and a balanced approach to foreign investment.

“The future of European mobility lies in innovation and cooperation, not in tariffs.”

According to Hipa, Hungary’s remarkable success in attracting and integrating Asian investments is a direct result of its long-term vision, competitive business environment, and commitment to fostering innovation. Furthermore, Hipa’s VIP investor support system, which provides tailored consultancy, project management, and sector-specific assistance, ensures that Hungary remains an attractive and reliable partner for Asian firms looking to establish and expand their operations in Europe.

“The future of European mobility lies in innovation and cooperation, not in tariffs,” according to Joó.

Hipa

Bringing the Tastes of Asia to Budapest

A multinational, four-person team has dedicated itself to offering authentic Asian cuisine to Budapest, with a dash of paprika or mangalica, where appropriate.

Nigh on a decade ago, three Asian graduates, each of whom had studied in Budapest, stayed on to work in the Hungarian capital.

Wang Songtao, from China, with an economics degree, was a hairdresser; Luu Anh Tuan and Nguyen Thuy Phuong, both from Vietnam, held degrees from the Moholy-Nagy University of Art and Design, and were busy in fashion.

But all three friends were somewhat restless, musing their next moves. The answer, naturally, was to start an Asian restaurant, even though none had any professional training in gastronomy or hospitality.

“We started the whole thing as a hobby,” Songtao (referred to all as simply Tao) admits to the Budapest Business Journal. “Tuan was a fashion designer, had a lot of parties at his place. Late on, we’d be getting hungry, open the fridge and start cooking Chinese and Vietnamese food. I think that was the point when we wanted to introduce home food, the authentic taste, to our friends,” he continues.

To a sober outsider, this sounds like a recipe for disaster. It’s one thing for a group of students to knock out some late-night dishes for friends and entirely another to run a professional eatery, comply with regulations, manage the logistics

and staff and serve a critical general public that can always vote with its feet.

A year or two later, Dániel Regős joined the team. A Hungarian with 17 years

as the distributor for Bang & Olufsen in Budapest, Regős knew all about the required decibel levels for a plush dining room hi-fi system but little about ingredients for the best Thai desserts.

Fast forward to February 2025 when, despite their apparent lack of initial professional knowledge, not to mention the enormous setback resulting from COVID-19, the team quietly inaugurated their fifth restaurant, offering Japanese cuisine, in the basement of their main center on Arany János utca.

The Secret Recipe

Sitting upstairs in the Opium (Vietnamese) outlet, Tao, later joined by Luu Anh Tuan (universally known

Stars, Celebrities and VIP Guests

The cuisine and central location have made Opium and its sister restaurants a haunt for film stars and the famous seeking repast in Budapest. But it doesn’t matter who comes through the door, according to co-owner Dániel Regős.

“It’s part of the swim, and the good part is, ... ok, you’re going to write this, but we don’t care. We treat them like any average customer,” he declares, stressing that the business is not targeting any particular clientele.

“We’re open for anyone, and even if you just come in

for a cup of tea, that’s fine. One time, we had Prime Minister Viktor Orbán sitting next door in Qui [the Thai restaurant], and at the next table, there were two guys from university eating pad thai. If it’s an ambassador, a famous star, still we treat them all as guests,” he says.

The in-house rule is to serve diners respectfully and not to impinge on their private space. That means no requests for selfies.

“We had Zendaya, the famous [American] actress, in the city

simply as Tuan), revealed the secrets of their achievements to the BBJ

“We’ve been preparing for quite a long time, 18 months, and now we wanted to open it without any pressure because we felt we still want to make it better. It’s open. We just haven’t advertised it. Before that, it was only open by appointment,” Tao says, speaking of the Japanese restaurant below. It doesn’t even have a name as yet.

Seven weeks later, as this paper went to press, the Japanese outlet remained un-christened, or perhaps that should be un-shintoed. Regős, perhaps leaning more towards Buddhist mysticism, told the BBJ, “The name will come when it’s time.”

But back to the interview in February: Tuan arrives and quickly reveals that efforts to co-run five restaurants mean he has long given up his fashion operation. However, he has yearned to manage a restaurant since childhood.

“I always wanted to open a restaurant; it was in my imagination, in my dream

for three months for filming, and I’d say almost every evening, over 80 times, she was here, with us, like a fixed part of her daily routine. She was far from home, and I think, apart from the food, we offered her some feeling of safety,” Regős recalls. This “protection” extends to external inquiries, including from the media.

“There were even some newspapers and TV channels calling us when they picked up we had some famous guests, asking what they had eaten and such. We don’t answer them. It’s not our territory, it’s a private matter,” he insists.

by

since I was a kid,” he reveals. Dreams are all well and good, but what about some apt culinary knowledge?

“The story is similar [to the fashionparty cook-ins],” he says, “From family gatherings, parents, big bunches of people. It was fun, lots of good food.”

Enormous Undertaking

But the five restaurants currently mean managing around 125 staff. It’s an enormous investment and operational undertaking. Did the team do any market research before starting?

“No. I did it by instinct. No need for research,” Tuan laughs out loud, “You feel from the air.” The man from Hanoi detects a sense of disbelief in his interviewer and continues.

“As I mentioned, art is my foundation; we are all art lovers. So, once you feel the art, design, trend, fashion, you feel the economy, politics, society in arts.

That is the instinct, partly.”

Their first restaurant, primarily Vietnamese with some Chinese influence, was Sau, in Gozsdu udvar, District VII. With finance consisting only of family loans, it required a very hands-on commitment from the founding team.

“We separated the tasks. We worked a lot, physically. We slept there, sometimes, […] at the beginning,” Tau chips in. Indeed, team members even cooked in the early days, despite having no professional training, until a Vietnamese chef was sourced.

It’s a practice continued with all the openings. For Opium, created in a building left empty for years, Tuan cleaned each brick in the restaurant ceiling and then varnished them for effect. Regős, the Hungarian fourth member of the team, taught himself carpentry to make the chairs from redundant roof beams in the Opium and Qui outlets.

“It’s very important to feel the place from the beginning. It’s like giving birth [...] A restaurant is more than just food, there has to be love in the cuisine, and the guests, they can feel that,” Tuan says.

KESTER

Part of the crew at the as yet unnamed Japanese restaurant: At back: Dániel Regős (co-owner); middle row, Wang Songtao (co-founder and co-owner); front row, Hungarian master sushi chef György Pivovárnyik, who trained in Paris.

Photo

Kester Eddy

4Special Report

Agriculture

Agroloop: Central Europe’s 1st Commercial Insect-protein Plant

Underneath the flight path of Budapest Ferenc Liszt International Airport, Agroloop’s new EUR 30 million plant is leading regional efforts to produce high-quality protein for animal fodder from certified food waste.

KESTER EDDY

Rajmond Percze is a man on a mission: as a graduate economist, he spent his first professional years with Big Four firms on auditing and company evaluations. Yet something was missing. Then, in 2018, while attending a sustainability seminar at Wageningen University in the Netherlands, he had an “aha!” moment.

“They brought in vegetable waste in boxes, and while the lecture was on, forlike 30 minutes, these insects inside just consumed [the contents of] the boxes. I thought: What the heck has just happened?” Percze tells the Budapest Business Journal in an interview.

Insect larvae, he learned, could eat waste and be harvested to produce protein. Percze knew nothing about the subject but was determined to find out. Whether, for example, there was any operation in Hungary seeking to exploit the potential of insects in the food cycle, and if not, what was the business case?

It took him two years, with the help of two partners picked up along the way, to establish Agroloop, so-named because, as he argues, “30% of the food produced is wasted [... but] anything that is in the food supply chain should remain in the [food] loop, so that’s why we are [named] Agroloop.”

Based on their research, Percze and his co-founders chose to base their operation on the larvae of the black soldier fly, a species that struggles to survive at temperatures of less than 10°C (50°F) and is thus native to warmer, more humid climes than Hungary.

Massive Advantage

But it has one massive advantage over its protein-producing competitors: after its eggs hatch, given ideal conditions of food and temperature, its grubs mature within just 12 days, when they can be harvested to yield three valuable products: highquality protein and oil, both of which can

Rajmond Percze (furthest from camera) handling a tray of larvae at the Törökkoppány plant. In the new plant at Üllő, the larvae trays are normally totally enclosed, with no human handling needed in the rearing and harvesting processes.

enrich livestock feed and pet food, and the grub excrement, called frass, which is rich in micro-biological components that can enhance the fertility of depleted soil.

With “a couple of ten million forints” in funding from the first angel investor, Agroloop established their pilot production plant in Törökkoppány, a tiny village in Somogy county, 180 km southwest of Budapest.

In a very modest, low-tech operation covering just

100

square meters, trial production began in 2021 with a mere 10 kg of protein powder and oil per week. This proved enough, however, “to provide evidence to investors that we are able to source the feedstock, grow

and harvest the larvae, and to sell insect products to our customers,” says Percze. “This was the first milestone for us.”

In the ensuing years, with Törökkoppány production turning commercial in 2023, Agroloop began to provide insect protein and oil to several animal feed companies, including UBM, a listed Hungarian fodder group.

This success, in turn, helped persuade a clutch of venture capital companies, along with UniCredit Bank, to fund the company’s next big step, the 13,000 sqm feed protein production facility located in Üllő, on the southwest outskirts of Budapest.

Full Production

Inaugurated last December, the plant’s 35-strong workforce is currently gearing up for full production, when

Tight, Limited Focus is key for Agroloop

With an education in economics and work experience in audit and company evaluation, Rajmond Percze is the first to admit he has no deep, researchdriven knowledge of general biology, let alone the peculiarities of the black soldier fly and its complex life cycle.

“The majority of what we apply here [in Hungary] is based on general knowledge that can be found on the internet. We don’t have any patents, and we are not a technology development company,” he emphasizes.

Fully aware that there are companies focusing, for example, on the breeding and production of eggs, while others are

expanding on the protein side, formulating new products on the lucrative pet food market, Percze has oriented Agroloop to focus on understanding and exploiting the 12-day lifespan of the fly’s larvae.

As a result, the company imports black soldier fly larvae that are less than one day old and barely visible to the human eye from FreezeM, a leading innovator in black soldier fly breeding technologies, from its center in Germany. Agroloop then focuses on raising these to maturity in the most efficient manner.

“It can be tricky because this is a new industry, evolving day by day. And maybe

it will house a staggering 1.8 billion larvae munching their way through 120 tonnes of by-products from domestic food producers daily.

The harvested larvae will then enable the plant to deliver 250 tonnes of high-quality protein meal, 50 tonnes of feed oil and 900 tonnes

of organic fertilizer per month. Percze estimates this production should yield “more than EUR 10 million” annually.

At the inauguration in December, he declared: “We will be providing livestock and pets with a natural resource for the future. By opening this plant, we are not only aiming to meet the growing global demand but also to establish industrialscale insect farming in Central and Eastern Europe and to become a world leader in the long term.” Speaking to the BBJ three months later, he is a little more philosophical.

“The reason I’m doing this is because I know and believe it is the right thing to do. I could have established an IT, media market company or whatever, but I have two kids and my wife, and when they recall me [in the future], then the statement should be that ‘he tried everything he believed in to make the earth a better place.’ That’s my main motivation,” he says. As for the process and what it involves, he is purely pragmatic.

“I’m not in love with insects; they are an asset for me,” he underlines. “The rationale behind what we are doing is we are collecting low-value biomass from the nearby factories, and from that producing high-quality protein.”

I feel the intention to go a step forward and do more research and development, but my belief is that first, we want to be the best for these 12 days when we are rearing the larvae,” he reasons.

Naturally, from their work so far, the company has acquired what Percze terms “Kind of business secrets, tips and tricks on how to do this. We have the experience.” He doesn’t rule out future expansion on either side of the current value chain. It’s more a case of not running before he can walk.

“We will see in the future whether we are going to expand beyond this 12-day time frame, but first, we want to do our homework for these days,” Percze affirms.

Can Precision Farming Supercharge Hungarian Agriculture?

The Hungarian economy suffers from the side effects of low productivity, and agriculture is no exception. Precision farming has the potential to bring vast improvements, but, apart from funds, adequate knowledge will be essential to harness its power.

An evergreen item on Hungarian conference agendas is a lament about how far Hungary lags behind Western competitors in terms of productivity. Whether it is about manufacturing or construction, the verdict is the same: poorly organized workflows, low work ethic and inefficient use of resources keep performance low.

Agriculture professionals have nothing to be cheerful about, either. The latest Eurostat figures showcase that while labor productivity increased in 13 EU countries year-on-year in 2024, with Latvia topping the chart (at an impressive +47%), Hungary was second worst with a decline of more than 15%.

At first glance, a lack of funds can’t explain the gloomy reality of the sector. This year, calls for proposals worth

HUF 790 bln

should be published for agricultural and rural development. Krisztián Molnár, an agricultural engineer at Poliext Kft., stresses to the Budapest Business Journal that while ever more government funds and monetary instruments are available, their use is oftentimes not purposeful.

“A farmer might purchase a precision farming machine but lacks the knowledge and infrastructure to operate it properly,” he says. “This highlights the importance of thinking in systems, ensuring that knowledge transfer and professional consultancy accompany technology investments.”

Poliext does just that: it offers a range of services from planning to production and deployment, not to mention interactive workshops to equip farmers with the knowledge to operate such systems. The high initial investment costs deter many from transitioning to digital solutions. However, as Molnár explains, they should instead look at the full impact of such developments.

“In traditional irrigation, water losses can reach 30-40%, and the energy

costs of operating these systems are often twice as high as those of smart, precision irrigation systems,” he notes. “Farmers hesitate to adopt new solutions, failing to consider the significant differences in operational costs and plant health benefits.”

Size Matters

One of the key factors that impact the probability of applying precision farming methods is farm size. But this is a century-old trend: new technologies are first adopted by large estates. These enterprises have the resources to test what is truly beneficial and what remains relevant only to a niche segment.

As the expert adds, they are willing to take risks despite uncertainties, and their experiences later inform smaller farms looking to implement precision solutions. In the case of farms of more than

1,200 hectares, nearly all apply at least one element of new technology in Hungary, but apparently not efficiently enough. Interestingly, adoption can come down very much to age as well.

“Wherever the younger generation has taken over or is actively involved, integrating modern, digital solutions into everyday farming operations is far easier,” Molnár highlights. “In cases where the generational transition is slow or absent, farms typically use digital solutions only for administrative purposes, missing out on the productivity gains digitalization can bring.”

Infrastructure limitations, particularly in rural areas, also present obstacles. Inadequate digital infrastructure can hinder the implementation of data-

driven precision farming techniques. However, initiatives by the Hungarian Agricultural Economics Institute and the European Innovation Partnership (EIP) aim to bridge this gap by fostering collaboration between farmers, researchers, and agribusinesses.

The potential is enormous. Currently, just 8% of Hungarian farms use precision farming solutions actively. That figure is 25% in the EU, and when it comes to corn or grain production in the United States, the ratio is more than 50%. The global precision agriculture market is also set to surge by some 10% a year through to 2033 to hit USD 21 billion.

Data: Fodder for AI

Molnár further emphasizes that “sensor-based data collection and production management are no longer futuristic concepts.” In controlled environments such as greenhouses and plastic tunnels, sensors have been used for years to manage irrigation, nutrition, and plant protection.

Open-field farming and livestock management are now catching up, employing sensors for tasks such as frost protection and atmospheric drought mitigation. Without these tools, precise and efficient intervention would be impossible, and incorrect usage could “cause more harm than the weather conditions themselves.”

Data collected by sensors serves as the perfect basis for AI, which is, at the moment, more of an advanced data management tool that requires human oversight rather than something making autonomous decisions, the expert explains. However, it has already significantly eased the workload of experts and will continue to do so.

“With the increasing volume of production data, individual farmers can no longer process all the information independently. In the future, AI will be an invaluable decision-support tool, working alongside human expertise to optimize agricultural operations,” says Molnár. Government incentives and EU-backed digitalization policies will likely accelerate Hungary’s widespread adoption of precision farming. It is high time to make it happen as these innovations will not only address the sector’s long overdue inefficiency but also enhance sustainability, reduce environmental impact, and contribute to long-term food security.

Save Our Soils

Precision nutrient management is another critical area where technology is making a difference. Due to inefficient application, traditional fertilization methods often result in up to 50% nutrient loss. “In conventional methods, fertilizers are broadly applied by tractors, leading to significant waste. Precision solutions allow for gradual nutrient release, ensuring plants absorb them effectively while reducing environmental pollution. These methods also deliver nutrients directly to plant roots, minimizing competition from weeds and maximizing efficiency,” says

Krisztián Molnár of Poliext Kft.

Experts say knowledge transfer and professional consultancy must accompany technology investments to get the most out of them.

Photo by Scharfsinn

Agricultural Landscape Shifts as Small Farms

Decline, Crop Production Strengthens

The structure of Hungarian agriculture continues to evolve, with the number of farms declining while the dominance of crop production grows, according to the latest farm structure survey conducted by the Central Statistical Office (KSH).

BENCE GAÁL

The survey results, gathered in 2023 but only published this year, indicate that the trend aligns with broader European patterns, as smaller farms producing what it calls “lower-value outputs” increasingly cease operations.

As smaller farms disappear from the landscape, the average size of farms has naturally grown, and production is becoming more concentrated. KSH points out that crop production has strengthened while soil-friendly farming techniques and irrigation use have expanded significantly. However, livestock numbers have declined, with livestock farming now being more concentrated than crop production. The findings also reveal an aging population tending the land, with the average age of farm managers rising steadily. While the proportion of farm managers with basic agricultural training has increased, the overall agricultural labor force, both hired and family workers, has shrunk.

By June 2023, Hungary had approximately 198,000 active farms, marking an 18% decrease

compared to the previous survey in 2020. Over a 10-year period, the number of farms has fallen by 33%, representing a decline of 99,000 farms.

The report highlights that this trend primarily affects farms with smaller agricultural areas and lower livestock numbers. As these farms shut down, the average size of the remaining farms and the number of animals per farm have increased.

Bucking the Trend

The decline in farm numbers was recorded in nearly all Hungarian counties except Veszprém County, where the number of farms increased

by 3.2% from 2020. The steepest declines were observed in Somogy County (a 26% decrease) and Borsod-AbaújZemplén, Szabolcs-Szatmár-Bereg, and Hajdú-Bihar Counties, which all saw 24% fewer farms. The highest concentration of farms in 2023 was recorded in BácsKiskun County, with 24,000 farms, but even that was 13% fewer than in 2020.

While the number of crop specialist farms remained relatively stable over the past years, decreasing by just 5.8% since 2020, specialist livestock farms suffered a significant blow. The report shows it had nearly halved in just three years and is now a quarter of what it was a decade ago. Several factors have contributed to this decline, including the EU’s subsidy policies that favor crop production, recurring outbreaks of animal diseases, and rising feed and energy costs.

The shift toward crop production has continued, with crop specialist farms now accounting for 73% of all Hungarian farms, up from previous years. Conversely, livestock specialist farms have dwindled to just 14%, and mixed farms represent 7.9% of total operations, a figure that has remained relatively unchanged.

The concentration of agricultural production has accelerated over the past decade. Farms with the smallest standard output (SO) below EUR 4,000 saw the sharpest decline, shrinking by 54% between 2013 and 2023. Farms with an SO between EUR 4,000 and 8,000 also declined by 28% over the same period.

In contrast, the number of larger farms grew significantly. Farms with an SO between EUR 100,000 and EUR 500,000 increased by a striking 135%

over the decade. Whereas farms in the two smallest size categories represented 80% of all farms in 2013, this proportion dropped to 61% by 2023. Meanwhile, farms with an SO above EUR 15,000 increased their share from 12% to 27% of the total farm population.

The trend toward concentration is evident in the structure of agricultural production. Nearly half (45%) of the smallest farms existing in 2020 closed within three years, while only 3.7% of farms with an SO above EUR 500,000 ceased operations. By 2023, although 47% of Hungarian farms fell into the smallest category, the largest farms, just 1.1% of the total, accounted for 45% of the country’s total agricultural output.

Livestock Concentration

The structural shift differs by type of farm. Livestock farming has seen the most pronounced concentration, particularly among farms specializing in granivores (seed-eating animals) and mixed animal husbandry. Among granivore farms, 78% were classified within the smallest size category, while the most significant category (with an SO of EUR 500,000 or above) accounted for 87% of total output.

Crop specialist farms, though also concentrated, remained more evenly distributed. About 39% of arable crop farms were in the smallest category, but 65% of their output came from medium and large farms. The distribution for permanent crop farming was relatively balanced, with 62% of farms in the smallest category and 64% of output generated by farms with an SO of between EUR 15,000 and EUR 500,000.

The report also highlights concerns about the aging farm workforce. The number of farmers decreased across all age groups, but the sharpest decline was among those aged 55 to 64, whose numbers fell from

91,000 in 2013 to 45,000 in 2023. Younger age groups also saw declines, with the number of farm managers under 35 dropping by 42% over 10 years.

As a result, the share of farm managers aged 65 and over increased to 37% in 2023, up from 29% in 2013. Sixty percent of farm managers were 55 or older, aligning with EU averages. However, only 4.9% of farm managers were under 35 in 2023, compared to 5.6% in 2013.

The decline in young farm managers was observed in nearly all Hungarian counties except GyőrMoson-Sopron, Veszprém, and Komárom-Esztergom. The highest proportion of senior farm managers was in Békés County, where 43% of farm operators were aged 65 or older.

Minister of Agriculture István Nagy speaks at the presentation of the Support for the Development of Processing Plants tender in the Hungarian Agricultural Museum and Library conference hall on March 11. More than HUF 7 billion will be paid out to 129 applications, up to a maximum of HUF 200 million for a single bid, to help realize investments worth HUF 400 mln.

Róbert Hegedüs / MTI

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Forward-thinking National Film Institute Pioneers Greater Industry Access

While it’s certainly true that a career in film can be exciting, creatively satisfying and lucrative, it’s a tough industry to break into and survive. The head of training at the Hungarian National Film Institute, Eszter Lányi and her team are doing their level best to change all that.

Training future film professionals, funded by a 0.5% levy on film productions, is a key part of the NFI’s mission. Its Film Industry Training Program, launched in 2016, aims to “eliminate skills shortages experienced mainly in areas of production and to create the sustainable future of local film professionals.” As far as Lányi knows, the scheme is unusual, if not unique.

“Linking the levy to productions that received support from the country and then channeling that money into professional training for film industry sustainability is pretty unique,” Lányi says.

The NFI’s Fast Forward Program is a series of lectures and workshops on filmmaking led by world-renowned figures in the industry. The NFI-

supported training courses cover a wide range of professions, from video and animation to sound and finance, and even how to train as a weapons technician. Summer camps for teenagers and adults offer a platform to support career orientation.

NFI has published “Szabadnak Lenni / Being Free,” a practical guide to what it really means to be a freelance filmmaker, and manages a stand-alone website that enables potential interns to register with their details so film producers can find them. An impressivelooking set of programs for sure.

But does it really make a difference?

Lányi’s background is in education and culture management. She’s also a film buff who says, “Film is

at the core of my heart.” Joining the NFI in 2017, she set about broadening the training program’s remit.

“I realized that while the industry needed new people, mostly in assistant roles, there was so much more we could do to help the Hungarian film industry become sustainable,” Lányi tells me.

Encourage the Desire

The thinking behind the Fast Forward Program, for example, is to encourage the desire to enter the film industry at an early age. But it’s also to attract adults considering a career change to explore using the skills they have differently.

“There’s been a big change over the years,” Lányi explains. “In the beginning, most people who wanted to go into the film industry were in their 20s. Today, when we look at the groups we train, there are more people in their 30s and 40s, mid-career and thinking about changing.” According to Lányi, the program works.

“I see people who go to our camps working in productions. Kids form friendships at the summer camps and decide to work together on projects. Some kids who try one of our summer camps later apply to the boot camp for grownups. People who graduate from our programs and start working in the industry migrate from one type of work to the other,” she says.

Professors and industry professionals tutor the boot camp. Dorottya Zurbó, one of the directors of the Sundance-

acclaimed “The Agent of Happiness,” was a recent documentary tutor. László Csáki, animation director on “Pelikan Blue,” tutored animation. Lányi is hot on providing data to demonstrate the success of training programs by institutions the NFI sponsors, such as MoholyNagy University, the Hungarian Society of Cinematographers, Mystic Academy, and Werk Academy.

A recent assistant producer course attracted 17 people, six women and nine men. Of these, 15 passed the final exam. Six are currently working in the film industry. The success rate of a production accounting course is equally impressive. Out of 10 participants, seven were women, and three were men. All passed the final exam, and six are now working in film.

Film Industry Accessibility

But while the results are impressive, there’s also the question of accessibility. People who get into the U.S. and U.K. film industries are often the children or grandchildren of professionals already working there. They’re also from families that can support them financially while they intern.

“It’s true that our summer camps for kids tend to be filled by the children of Budapest families,” Lányi admits. “But the programs for adults are very mixed. They include people from outside Budapest and even Hungarian-speaking applicants from neighboring countries. I’d say their socio-economic status is also as varied as you can imagine. Money, or the lack of it, should never be a barrier. The cost of taking part in our summer camps is very low.”

As far as Lányi is concerned, there’s not much the NFI or anyone can do to counter the phenomenon of those with a head start because they have contacts in the industry.

“Subsidies won’t change this. What we can do is open doors: for example, offer internship possibilities and prepare anyone thinking about the industry for what will be the reality when they do get in,” she says.

“When I ask kids what they want from a career, they often say stability and being independent. These things don’t go together. You need to plan your career in the film industry. That’s why we created the ‘Be Free’ guide to freelancing,” Lányi adds.

Ultimately, the NFI’s mission is to make sure the people it prepares to enter the industry with no illusions.

“It’s a magical industry,” Lányi says, somewhat wistfully. “You create a world out of nothing and then watch it on the silver screen. But it’s also very tough, and you need to be prepared.”

If you find the film industry tempting and want to know more, you can learn about training options at nfi.hu/ en/training. Anyone looking to intern should go to filmesgyakornok.hu/en.

DAVID HOLZER

Eszter Lányi, head of training at the Hungarian National Film Institute.

NFI summer campers.

Photo by Ádám Vitéz

Photo by Janka Pozsonyi

Cotton Club Singers Back on Stage for 30 th Anniversary

One of the most popular Hungarian groups, the Cotton Club Singers, has reached a significant anniversary. Under the title “What, 30!?” the vocal act will give a double concert on March 30 at the Erkel Theater, featuring Gabriella Szűcs, Adrienn Zsédenyi, Orsi Kozma, Gábor Fehér and László Boldizsár, along with Cotton Club Band.

Szűcs, Zsédenyi, and Boldizsár met more than 30 years ago at a birthday party. For almost two years, Old Man’s Pub gave them the opportunity to perform their blend of jazz, swing and pop every Sunday evening. Their audience kept growing. Initially, they sang covers of The Manhattan Transfer,

Culture Matters

A regular look at culture issues in Hungary and the region

but they expanded their repertoire with adaptations of hits by Hungarian and international artists, often with arrangements by Fehér.

The first stage success came in 1997 at the Congress Center. Prestigious concert venues in Hungary followed, and soon they were performing to soldout audiences across the country.

in Brief News Culture

1848 Revolution

Commemorated at Kossuth Statue in U.S. Capitol Hungary’s 1848-49 revolution and freedom fight against Habsburg rule was commemorated at the statue of revolutionary leader Lajos Kossuth in the U.S. Capitol in Washington, D.C., according to state news agency MTI. State Secretary for Family Policy Zsófia Koncz said Kossuth had served as a “link” between Hungary and the United States, “as is the value of families as the foundation of both nations. [...] We must stand up for shared values such as peace, family, national values, and Christian culture,” she added. Koncz also noted that during her visit, she had observed “great interest in the U.S.” regarding Hungarian

policies, especially those on family.

Former Republican Senator Rick Santorum said bilateral ties between Hungary and the United States had undergone a “full 180,” [degree turn] strengthened by the “close personal and political relationship between the U.S. president and the Hungarian prime minister.”

1st Hungarian Diaspora Conference in U.S. Calls for Greater Community Cooperation

Washington, D.C., hosted the first Hungarian diaspora conference in the United States on March 14, coinciding with an official visit by State Secretary for Hungarian Communities Abroad Lőrinc Nacsa,

With numerous albums to their name, the eMeRTon Awardwinning group have unsurprisingly performed hits by Frank Sinatra but have also given a jazz swing to works by Abba. They have a fan base in Germany, the Netherlands, and England. In 2000, they were invited to Sydney while it hosted the Olympics.

according to national news agency MTI. Speaking at the event at the Hungarian Embassy, Nacsa outlined the Hungarian Government’s goals and support programs for Hungarian communities abroad. He urged local Hungarian communities to collaborate and organize joint celebrations, emphasizing that the Hungarian state can better support them if they work together rather than compete, as cooperation is key to “surviving over time.” Nacsa also noted that leaders of diaspora groups can play a significant role in strengthening U.S.-Hungary relations, which he said are now on a new footing. Hungary’s Ambassador to the United States Szabolcs Takács told MTI that such diaspora gatherings should become a tradition and be held at least annually.

Sziget Festival

to Undergo Visual, Program Overhaul This Year

This year’s Sziget Festival in northern Budapest will see both

After several changes in the lineup, the Cotton Club Singers announced they were breaking up in 2009. However, they came back together in 2015, since when they give one or two concerts a year, as schedules allow, but especially when there is an anniversary to celebrate.

a visual and programmatic revamp, the event’s organizers said in a statement on March 6. Festivalgoers attending Sziget between Aug. 6-11 can expect a range of new programs and experiences, Tamás Kádár said, noting that the festival is undergoing a long-term upgrade. “It is a constant challenge for Sziget to maintain its place in international competition,” Kádár noted. He emphasized that evolving cultural consumption habits, festival expectations, and economic factors necessitate continuous reinvention. “We’re taking a big step forward this year: we’re implementing developments and changes that focus on creative solutions while staying true to Sziget’s fundamental values, vibrant cultural programs, and musical diversity,” he added. Sziget will again offer discounted passes, with early-bird tickets priced lower than last year. The 2025 lineup will include Chappell Roan, Charli XCX, Anyma, ASAP Rocky, Shawn Mendes, and Post Malone, among others.

by

ÉVA BODOR

Photo

László Emmer

Chamber of Commerce Corner

This regular section of the Budapest Business Journal features news and events from various international business chambers. For further information and to register for specific events, visit the organizing chamber’s website. If you have information for inclusion on this page, send an email in English to Annamária Bálint at annamaria.balint@bbj.hu

German-Hungarian Chamber of Industry and Commerce (DUIHK)

In celebration of International Women’s Day on March 8, women@DUIHK and DialogUngarn Nonprofit Kft. organized the third Female Business Leader Conference in Budapest, made possible with the support of UniCredit Bank Hungary Zrt. and the Verband der Unternehmerinnen (VdU). More than 135 managers discussed how cooperation between men and women, young and old and people and technology can make companies and organizations stronger and more successful under the motto “Strong Together: Working Together Successfully in Business.” In his keynote speech and subsequent conversation with Marie-Theres Thiell, István Szászi, the head of the Bosch Group in Hungary and the Adriatic Region, emphasized that greater participation of women in business processes and decisions is not only fair but is also in the interest of all companies. He also advised caution when dealing with the generational issue, advising against stereotypes. It is essential to consider each individual’s own merits.

In the first panel, moderated by Hedvig Szakács (SZPH Consulting), Gabriella Heiszler (Spar Magyarország), Kirsten Schoder-Steinmueller (Schoder and also a VP of the DIHK), Krisztián Góbor (SIIX Hungary) and Attila Somogyi (Kion Group) expressed the view that managers in particular needed to support cooperation. It is vital for companies to embrace further digitalization to ensure economic sustainability in the long term. Providing additional training and effective communication channels is essential in ensuring employees can keep pace with the constant technological advances. Demographic change necessitates effective collaboration between multiple generations in the workforce. Employees from different generations are most effective when their strengths and affinities are utilized.

The second panel, moderated by Barbara Zollmann, MD of the DUIHK, focused on how organizations can promote collaboration. Pamela Stenzel, co-chair of the International Commission of the VdU, reported on projects such as “She Succeeds” on business succession or projects with female entrepreneur networks in Africa.

Julia Arnold, head of Business Women IHK and Network Communication DIHK, gave the example of the Business Women IHK, which has already founded 40 women’s entrepreneur networks across Germany. László Kónya of Deutsche Telekom IT Solutions Hungary spoke about close cooperation with schools to promote early career choices. Rally driver Dorka Zagyva talked about how her father’s profession had allowed her to learn about it and become a role model.

Belgian Business Club in Hungary (Belgabiz)

Belgabiz hosted a networking event at MaMaison Hotel Andrássy on March 13. Chief Economist at K&H Bank Dávid Németh delivered sharp insights into Hungary’s economic outlook. From the German elections to Trump’s return, inflation trends, and geopolitical shifts, we explored the key forces shaping 2025. Guests included Belgium Ambassador Jeroen Vergeylen and from K&H Bank, CEO Peter Roebben and Tibor Bodor, head of the corporate division. Special thanks to Belga Sörmester for providing authentic Belgian beer for the networking.

Italian Chamber of Commerce for Hungary (CCIU)

The CCIU thanks everyone who made the Venice Grand Ball an extraordinary and unforgettable evening on March 1. Among the more than 180 guests were the Italian Ambassador to Hungary Jacoangeli Manuel, numerous VIPs and senior executives from Italy and Hungary. Opened by the CCIU president Bernardino Pusceddu, the evening celebrated the excellence of “Made in Italy,” showcasing Italian artistic heritage and craftsmanship. Guests embarked on a cultural journey through an art exhibition, a contemporary sculpture display, and a fashion show. A new air connection between Budapest and Venice, strengthening ties between the two cities, was also celebrated. The gala dinner offered a refined culinary experience, accompanied by wines provided by the Consorzio di Tutela Prosecco DOC Valdobbiadene Patrimonio

Unesco. Live performances enriched the evening, including a show by Italian soul artist Davide Shorty, a soprano-tenor duet by Laura Migliaccio and Giuseppe Gambi, and live music.

Netherlands-Hungarian Chamber of Commerce (Dutcham)

Save the date for the annual Dutcham Gala Dinner on Wednesday, May 28, from 6 p.m. Similar to past years, the event will be a seated dinner in casual style with Dutch, Indonesian, and Caribbean culinary inspirations.

Canadian Chamber of Commerce in Hungary (CCCH)

The CCCH will host its 12th annual Canadian BBQ on June 4. This exclusive event will bring together prominent business leaders, diplomats, and government representatives for an evening of exceptional food, networking, and entertainment. Attendees will enjoy a signature Canadian culinary experience featuring bison, wild-caught salmon, unlimited drinks, a cocktail bar, and indulgent chocolate and ice cream tastings. At the same time, jazz music will set the atmosphere. With approximately 100 guests expected, the event is a premier networking platform for professionals across various industries. Whether you’re looking to expand your business network or simply indulge in a unique fusion of Canadian cuisine and Hungarian hospitality for an unforgettable evening of fine dining and entertainment, this is an event you won’t want to miss. • When: Wednesday, June 4, 6-10 p.m. • Where: Öbölház, Kopaszi-gát 2, Budapest 1117 • Fee: Early bird tickets are available until April 30: Members HUF 46,900 plus VAT; non-members HUF 56,900 plus VAT.

Hungarian-French Chamber of Commerce and Industry (CCIFH)

It’s time to offer some care management and boost team spirit, and all with an ESG impact reducing CO2 emissions. Join the French chamber’s international #ChallengeCCIFI 2025: running, walking, and cycling in teams of five. This year, Yogist wellness at work with invigorating indoor active breaks have been added to the mix. Twenty-five percent of fees support the Solar Impulse Foundation. Amazing prizes are on offer from EuropaDesign and HungariaMed-M. • When: March 31-April 27. • Where: your location in Hungary • Fee: (per team of five): Members EUR 350 plus VAT; non-members EUR 450 plus VAT.

The Embassy of Switzerland in Budapest, in cooperation with the Budapest City Administration, Swisscham, the Budapest Global Association and other partners, is proud to announce the launch of the “Switzerland in Budapest 2025” program. This project aims to highlight the deep historical, cultural, and economic ties between Switzerland and Hungary by showcasing the many Swiss traces that can be discovered in Budapest. The series of events started in March with a literature event, various cultural happenings,

film screenings, an art exhibition, and music performances. Later this spring, several guided walking tours will allow participants to explore cultural, economic and historic locations in Budapest with a Swiss touch. Participants in the city rally “Swiss Traces in Budapest” will even have the chance to win a trip to Switzerland. As part of the “Switzerland in Your School” initiative, the Swiss Ambassador will visit schools to engage with Hungarian students on Switzerland’s political system, EU relations and historical connections with

Hungary. This year also marks the 30th anniversary of Swisscham, commemorating the longstanding Swiss business presence in Budapest. The chamber will celebrate this anniversary through a series of thematic events all year, not least a gala dinner on May 15 and a SwissHungarian Business Forum in the fall. A highlight of the “Switzerland in Budapest 2025” program will be a “Swiss Picnic” in mid-June in the garden of the Embassy of Switzerland. It will offer Budapesters a chance to experience a taste of Swiss cuisine in a relaxed atmosphere. The event will be open to the public, but prior registration will be required.

Swiss-Hungarian Chamber of Commerce (Swisscham)

Opening a business doesn’t make you a businessman.