Hungary wants family businesses like those in Germany

Hungary, too, would like family businesses which achieve results similar to those in Germany, Prime Minister Viktor Orbán said in Nyírbátor where he announced the latest project worth some HUF 6 billion of the piece parts manufacturer Rosenberger Magyarország Kft.

The Prime Minister stressed that, after the fall of communism, the Hungarian market economy looked primarily upon Germany as a model which was able to create a new German industry even after a lost world war.

German family businesses provide jobs for 68 per cent of German people, and account for some 50 per cent of Germany’s total economic output. “We, too, would like to get there”, he indicated.

“We would like an economy like that of Germany; an economy where – as we hope – in the future family businesses will account for one half of the Hungarian economy’s total output. And we would also like some sixty to sixty-five per cent of Hungarian people to work in Hungarian-owned factories and plants”, the Prime Minister said.

He confirmed that Germany – and Bavaria where the factory owner Rosenberger family comes from – has always been an example for Hungary. The company is now launching new projects on two sites, in Jászárokszállás and Nyírbátor, investing twice as much money as it did last time. The latest project will be worth more than HUF 6 billion to which the government will contribute HUF 1.6 billion, the Prime Minister said, observing that as a result more than four hundred new jobs will come into being.

Referring to the development worth HUF 3.2 billion completed by Rosenberger last year, Mr Orbán said that the pace that Rosenberger dictates is enviable.

“And in turn we are proud that we are able to keep up with that pace”, he said.

The Prime Minister pointed out that in recent years enormous projects had been brought to Hungary. In 2017 the value of investments increased by 17 per cent, thereby rising to its highest ever level and reaching HUF 6,440 billion, while the performance of the Hungarian economy increased by four per cent. According to the Prime Minister, once again projects on an enormous scale are being launched, and also in 2018 the performance of the economy will expand by minimum four per cent. In other words, “there is ample money to cover both the wages of workers and the pensions of pensioners”.

Mr Orbán said it is important that Hungary should be not only a production centre, but equally a research and development hub. He highlighted that Hungary does not wish to join the world economy’s production system at its lowest level, but as high up as possible. Hungary would like to produce as high a level of added value as possible; this, however, requires technology and workers.