Hungary witnessed the rich grow even wealthier in 2023

The total wealth in Hungary witnessed a significant surge in 2023, with financial assets hitting a record 96,400 billion HUF. However, this increase primarily benefitted a select few affluent individuals.

The top one percent experienced considerable wealth accumulation over the past year, as reported by Index.hu citing findings from the Blochamps Capital Asset Management Yearbook. “While the top ten percent possess two-thirds of society’s financial wealth, the top one percent lay claim to a full third. This segmentation was further entrenched by inflation, to the detriment of the bottom nine-tenths of society,” elucidated István Karragich, Managing Director of Blochamps Capital, in their article.

Connections prove lucrative

NER, an acronym for the Hungarian Nemzeti Együttműködés Rendszere, translating to “System of National Cooperation,” initially introduced by the Orbán government following their 2010 electoral victory to implement administrative changes in Hungary. However, today, the term has evolved to denote the inner circle of politicians and business magnates (or oligarchs) surrounding Fidesz.

“There are more and more people in the top field who, without the tailwind from the government and their close ties to government officials, would likely be middle-class entrepreneurs at best.”

For instance, Prime Minister Viktor Orbán’s son-in-law, István Tiborcz, ranks as the 27th wealthiest person in Hungary, boasting an estimated wealth of HUF 75.3 billion (190.6 billion EUR).

Here are the richest people in Hungary

After slipping to third place in 2022, Lőrinc Mészáros and his family reclaimed the top spot in 2023, with an estimated wealth of a staggering HUF 591.3 billion (1.5 billion EUR). Forbes estimates suggest his assets surged by over HUF 150 billion (380 million EUR) in the past year alone.

Sándor Csányi, CEO of OTP bank, secured the second position with holdings in the bank itself and Bonafarm, a player in the agricultural sector. His wealth is estimated at 573.7 billion forints (1.4 billion EUR).

Zsolt Felcsuti, proprietor of MPF Holding, a manufacturer of machine accessories, industrial components, and cooling equipment, ranks as the third wealthiest individual in the country, boasting HUF 442.9 billion (1,122 million EUR). Occupying fourth place is Tibor Veres, a notable figure in the real estate and automotive markets, with an estimated 438.2 billion forints (1,110 million EUR).

György Gattyán, founder of an adult webcam site and owner of Dolcer Holding group, which operates in the IT sector, secured the fifth position with his 424.8 billion forints (1 billion EUR).

Anticipated changes in investment trends

Global conflicts, such as wars and inflation, stagnation in some sectors, and the rise of cryptocurrencies and AI technology prove significant challenges to the banking sector as they dynamically shape the needs and preferences of investors, Blochamps Capital highlights. Moreover, banks must address the substantial wealth accumulation among the top 1 percent in the country.

Consumer-centric adaptable services, digitalisation, innovative electronic services and stringent cybersecurity and data protection are increasingly important in wealth management and private banking. Conversely, environmental sustainability and social responsibility are becoming more prominent concerns among investors in the banking sector.

Read our other articles:

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Hungarians spend the least in the EU, experts are pessimistic – Read HERE

Source: Index, Forbes, Telex