From taxes and salaries to cost of living and family benefits, an insightful comparison between Romania and Hungary reveals slight contrasts in quality of life. While it is an ambitious commitment to demonstrate which of the two countries offers a better life, a video showcased some interesting points.
Romania vs Hungary
Recently, Pénzcentrum has made a comparison of life quality in Romania and Hungary, based on an informative YouTube video. The video delved into a detailed comparison of the quality of life between Hungary and Romania, examining over ten objective indicators. Building on insights from a previous analysis comparing Hungary and Slovakia, the creator aimed to determine “where life is better” using measurable factors. While acknowledging that emotional factors like family ties or national identity often influence personal choices, the video concentrated on economic and social metrics to provide an objective evaluation of living conditions in Romania and its neighbour.
Taxation and salaries
Taxation and salaries in Romania show a notable contrast when compared to Hungary. In Romania, the deductions from gross salaries range between 40-45%, which is significantly higher than Hungary’s 33.5%. However, for minimum wage earners, Romania’s deductions drop to 35.7%, which highlights the burden of taxation on higher salaries. When it comes to minimum wage, Romania holds the advantage with both gross and net figures leading in comparison to Hungary. Conversely, Hungary surpasses its neighbour in terms of average earnings, particularly net salaries, due to the higher deductions imposed in Romania.
Unemployment
Unemployment rates reveal a slight disparity as well, with Hungary reporting 4.5% and its neighbour at 5.4% as of January this year. This indicates a marginally healthier job market in Hungary.
VAT
The Value Added Tax (VAT) landscape further distinguishes these two nations. Hungary imposes a VAT rate of 27%, which is considerably higher than Romania’s 19%. Nonetheless, both countries offer reduced VAT rates on certain products; for instance, Hungary applies lower rates on items like milk (18%), medicines (5%), and newspapers (0%), while its neighbour offers reduced rates for food (9%) and books (5%).
Illustration: Pixabay
Cost of living
In terms of the cost of living, Romania generally presents a lower overall cost compared to Hungary. Renting is also more affordable there, although the difference is less pronounced than the overall cost of living.
Family allowances
Family allowances differ significantly between the two countries. Hungary provides various benefits for families with children up to three years old, including CSED, GYED, and GYES. In contrast, Romanian support extends only up to two years but offers a more substantial allowance at 85% of the salary. While family allowances are higher across the border, Hungary provides more tax relief options for families, particularly those with multiple children and young mothers.
Photo: depositphotos.com
Retirement and life expectancy
Regarding pensions and retirement ages, both countries set the retirement age at 65 for men, while women in Romania can retire earlier at 62, with additional reductions possible for each child raised. The average old-age pension – according to the video – stands at approximately HUF 233,500 (EUR 570) net in Hungary compared to around RON 3,014 (EUR 606). Meanwhile, life expectancy rates are closely aligned between the two nations, with Hungary at 76.9 years and its neighbour slightly lower at 76.6 years as of 2023.
Air quality
Air quality assessments by the European Environment Agency rank Budapest at 242nd out of 372 cities for pollution levels, which is relatively better than Bucharest’s position at 314th, indicating poorer air quality.
Public safety
Finally, public safety statistics suggest that Hungary fares slightly better than Romania; data from the World Population Review indicates scores of 1.5 for Hungary and 1.6 for its neighbour in 2023, reflecting a somewhat safer environment in Hungary.
European Union interior ministers will vote on Dec 12 regarding a Hungarian proposal to allow Romania and Bulgaria to join the Schengen agreement, Prime Minister Viktor Orbán said after talks with Romanian counterpart Marcel Ciolacu.
From 2025, the Schengen Zone will include Romania and Bulgaria
Orbántold a press conference that important talks had been held and were still under way in Budapest, with the interior ministers of Austria, Bulgaria, Hungary and Romania discussing the enlargement of the Schengen area to include Romania and Bulgaria.
European Union interior ministers will vote on Dec 12 regarding a Hungarian proposal to allow Romania and Bulgaria to join the Schengen agreement, Prime Minister Viktor Orbán said after talks with Romanian counterpart Marcel Ciolacu.
Hunor Kelemen, the President of the Alliance of Hungarians in Romania (RMDSZ), wrote in a Facebook post that border control will end between Romania and Hungary from 1 January:
Orbán told a press conference that important talks had been held and were still under way in Budapest, with the interior ministers of Austria, Bulgaria, Hungary and Romania discussing the enlargement of the Schengen area to include Romania and Bulgaria.
Orbán noted that Hungary was currently fulfilling the rotating presidency of the Council of the European Union. “When we last held talks with the prime minister in Bucharest, we were in agreement that the Hungarian presidency must be definitely used to speed up the process of Romania’s Schengen accession,” he added.
Photo: MTI
Current situation unjust, says Orbán
Orbán said the current situation towards Romania was unjust as the country had made serious efforts to meet Schengen conditions in recent years and had done so for quite some time.
Orbán welcomed the fact that during Friday’s talks, the approach through illegal migration had been chosen. The interior ministers discussed in Budapest that illegal border crossings must be reduced significantly and the fight against illegal migration must be strengthened, he added.
Orbán said that the participants at the talks established that both Romania and Bulgaria had made “fantastic progress in this regard” and the Hungarians, the Austrians, the Romanians and the Bulgarians were in agreement that all obstacles were removed that had prevented Romania’s Schengen accession.
He added that it had been agreed at Friday’s talks that all four countries would work on enabling Romania to become a full member of Schengen, not only by air but also over land, from Jan 1.
The decision requires the assent of all interior ministers of the EU, and it will be made in Brussels on Dec 12, Orbán said. The Hungarian presidency will make a proposal on the previous day based on today’s meeting, he added.
Photo: MTI
Bilateral economic ties with Romania “fantastic”
Orbán said he expected Budapest” to be famed’ for hosting the talks “that removed the last obstacle” and paved the way for the formal decisions.
If all goes to plan, drivers will not be required to stop at the Hungary-Romania border, he said, adding that “it’ll be a great moment for us all”.
The prime minister said he had also discussed bilateral issues with Ciolacu. He called bilateral economic ties “fantastic”, with bilateral trade “continuously increasing both in volume and value.” The two parties also agreed that investment in the other country was crucial; they will further support that Romanian goods are sold on the Hungarian market and Hungary exports its products to Romania, Orbán said.
Economic cooperation and Romania’s Schengen entry are especially important for communities on either side of the border, Orbán said, adding that the situation for those people was “unfair”. “Local communities there will at last be in a position to build their ties as required by the natural order of life,” he added.
With Romania’s Schengen entry, several roads crossing the border, so far used at weekends only, will open, Orbán said.
Meanwhile, the prime minister thanked ethnic Hungarian party RMDSZ for its efforts towards Romania’s Schengen accession.
Illegal border crossings must be reduced significantly
Orbán noted that Hungary was currently fulfilling the rotating presidency of the Council of the European Union. “When we last held talks with the prime minister in Bucharest, we were in agreement that the Hungarian presidency must be definitely used to speed up the process of Romania’s Schengen accession,” he added.
Orbán said the current situation towards Romania was unjust as the country had made serious efforts to meet Schengen conditions in recent years and had done so for quite some time.
Orbán welcomed the fact that during Friday’s talks, the approach through illegal migration had been chosen. The interior ministers discussed in Budapest that illegal border crossings must be reduced significantly and the fight against illegal migration must be strengthened, he added.
The interior ministers in Budapest. Sándor Pintér in c. Photo: MTI
Orbán said that the participants at the talks established that both Romania and Bulgaria had made “fantastic progress in this regard” and the Hungarians, the Austrians, the Romanians and the Bulgarians were in agreement that all obstacles were removed that had prevented Romania’s Schengen accession.
He added that it had been agreed at Friday’s talks that all four countries would work on enabling Romania to become a full member of Schengen, not only by air but also over land, from Jan 1.
The decision requires the assent of all interior ministers of the EU, and it will be made in Brussels on Dec 12, Orbán said. The Hungarian presidency will make a proposal on the previous day based on today’s meeting, he added.
Last obstacle removed
Orbán said he expected Budapest” to be famed’ for hosting the talks “that removed the last obstacle” and paved the way for the formal decisions.
If all goes to plan, drivers will not be required to stop at the Hungary-Romania border, he said, adding that “it’ll be a great moment for us all”.
The prime minister said he had also discussed bilateral issues with Ciolacu. He called bilateral economic ties “fantastic”, with bilateral trade “continuously increasing both in volume and value.” The two parties also agreed that investment in the other country was crucial; they will further support that Romanian goods are sold on the Hungarian market and Hungary exports its products to Romania, Orbán said.
Economic cooperation and Romania’s Schengen entry are especially important for communities on either side of the border, Orbán said, adding that the situation for those people was “unfair”. “Local communities there will at last be in a position to build their ties as required by the natural order of life,” he added.
With Romania’s Schengen entry, several roads crossing the border, so far used at weekends only, will open, Orbán said.
Meanwhile, the prime minister thanked ethnic Hungarian party RMDSZ for its efforts towards Romania’s Schengen accession.
Interior minister Pintér: Schengen accession of Bulgaria, Romania ‘one step closer’
The full Schengen membership of Bulgaria and Romania is “another step closer”, Sándor Pintér, the interior minister, told a press conference of interior ministers on Friday.
He told the joint press conference with Austrian counterpart Gerhard Karner, Bulgarian counterpart Atanas Ilkov, Romanian counterpart Catalin Predoiu and Ylva Johansson, the European commissioner for home affairs, that in order to complete the process another joint package needs to be put together to ensure and enhance the security of the European Union and the two candidate countries. The package will be finalised on Dec 11 and 12, he added.
Part of the decision will involve jointly setting up a contingent on the Turkish-Bulgarian border with the involvement of at least 100 border police, he said.
Pintér said that Hungary will ensure that in addition to the full appointment of 100 border police, they will be supplied with sufficient equipment to effectively protect the Bulgaria-Turkyie border.
“It is clear that there is an opportunity now to conclude this matter by Dec 31, this year,” Pintér said.
Karner called Friday’s border protection package “a very important step”, and praised Romania’s and Bulgaria’s efforts over the last two years to bolster border protection. He said that ever since the Netherlands and Austria vetoed their Schengen membership in 2022, the number of illegal migrants apprehended on their eastern borders has dropped from 70,000 to 3,000. He added that under Friday’s agreement, Austria will uphold its border controls.
Ilkov said his country had allocated significant amounts of funding towards strengthening its border with Turkiye which has led to a significant drop in the number of illegal border crossings.
Predoiu said Romania had reached its goal with today’s Budapest agreement, and his country’s Schengen membership would boost the bloc’s security. Romania, too, had devoted significant personnel and financial resources towards meeting the Schengen criteria, he added.
The Romanian and Bulgarian ministers thanked Hungary and Pintér for supporting their Schengen accession process.
Johansson said Romania and Bulgaria’s accession to the Schengen area in January was a realistic goal given the steps they had taken in meeting the accession criteria. The commissioner congratulated Pintér, saying that the success of today’s meeting was owed in great part to his personal commitment.
UPDATE: Full Schengen membership of Bulgaria, Romania fulfils a priority of presidency
Bulgaria and Romania’s full membership in the Schengen Area would fulfil a priority of the Hungarian presidency of the European Union, the minister for EU affairs said on Facebook late on Friday. At a “meeting of historic significance” in Budapest on Friday, the interior ministers of Austria, Hungary, Romania and Bulgaria reviewed the results of their joint fight against illegal migration, and “concluded that there is no obstacle to the full Schengen membership of Romania and Bulgaria,” Janos Boka said in a video on Facebook. The official decision may follow at a meeting of EU interior ministers on December 12, Boka said, “and we are all looking forward to the full Schengen membership of Bulgaria and Romania from January 1, 2025.”
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Agriculture Minister István Nagy called for effective measures to counter imports of fake honey after a meeting of his European Union peers in Brussels on Monday.
Effective measures against fake honey
At a press conference after the Agriculture and Fisheries Council meeting, Nagy said honey needed to be designated natural or artificial, while local beekeepers, at a competitive disadvantage, required more support. He added that Bulgaria and Romania had asked for protective measures to counter an increase in imports of Ukrainian honey that were depressing the prices of locally-made products.
Source: Pexels
Nagy said positions on fishing opportunities for 2025 discussed at the meeting were still “far apart” and augured “tough negotiations” ahead.
Nagy said that Ukrainian Minister for Agrarian Policy and Food Vitalii Koval had participated at the meeting and reported that 88pc of Ukrainian grain exports were now being shipped by sea, but highlighted the risks posed by Russian missile attacks on Odessa.
Nagy noted that the so-called Autonomous Trade Measures, involving the suspension of import duties and quotas on Ukrainian exports to the EU, were set to expire in June 2025 and pointed to the importance of future agreements on trade of farm products.
A parish house built with support from the Hungarian government was inaugurated by the Eusebius of Esztergom Roman Catholic Parish in Targu Secuiesc (Kézdivásárhely), Romania, on Saturday.
The Hungarian government provided 135 million forints (EUR 330,000) for the investment which was also supported by the county and municipal governments, local companies and parishioners.
Photo: FB/Miklós Soltész
Speaking at the inauguration, Miklós Soltész, the state secretary for religious affairs, said the Hungarian government partnered with churches to build and renovate places of worship, schools and parish houses for parishioners and future generations, preserving and passing on the faith.
Photo: FB/Miklós Soltész
Photo: FB/Miklós Soltész
Photo: FB/Miklós Soltész
Photo: FB/Miklós Soltész
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Transylvanian Hungarians have the means to have strong representation in Romania and to ensure that the decisions made about them are not made without them, the foreign minister said in Miercurea Ciuc (Csíkszereda) at a campaign event of the Democratic Alliance of Hungarians in Romania (RMDSZ) on Friday.
Péter Szijjártó attended a podium discussion in the company of RMDSZ leader and presidential candidate Hunor Kelemen.
He said Hungarian-Romanian relations had improved and Romania benefited from RMDSZ having been in government, as also stated by several of his Romanian negotiating partners.
“I felt a great change in Romanian political attitude towards Hungary when it became clear here in Romanian society that RMDSZ had stabilised the functioning of Romanian government and politics,” Szijjártó said. “It offered excellent professional performance in areas where it provided a minister, a boss, leaders, with Romania clearly performing well in those areas, and the Romanian people profiting from it. And we give credit to Romanian politicians for not only recognising this, but also starting to talk about it.”
Photo: FB/Hunor Kelemen
Commenting on the mechanism of developing policies for ethnic Hungarians abroad, he said that the government in Budapest did not want to say what’s good for ethnic Hungarians abroad. After representatives of ethnic Hungarian communities say what type of help they want from the mother country, it is the Hungarian government’s “plain duty” to fulfil the requests and expectations the best they can, he added. As a result, even under the circumstances of war, sanctions and inflation, the government did not allow support for ethnic Hungarians abroad to fall victim to the protective anti-inflation measures, he said.
Economic development programmes have also been initiated by ethnic Hungarian representatives abroad, he said. The government has so far supported 6,084 SMEs with 85 billion forints (EUR 208.6m), enabling investments totalling 170 billion forints in areas with ethnic Hungarian communities, he added.
“I believe that part of the Romanian political elite understands that this is a win-win situation, jobs being created and taxes getting paid here, supply possibilities expanding, and I believe it is a good way to strengthen the nation, parts of the nation, and strengthen cooperation between the country of residence and the mother country,” Szijjártó said.
Kelemen reaffirmed that it depended on the ethnic Hungarian community if RMDSZ was “in the playing field” and he asked them to vote for the ethnic Hungarian candidates on November 24 and December 1.
Strong RMDSZ in ‘whole nation’s interest’, says Szijjártó
The better result the ethnic Hungarian RMDSZ party achieves at Romania’s general election, the better Hungarian-Romanian cooperation and the life of ethnic Hungarians will be, Szijjártó said in Miercurea Ciuc (Csíkszereda) on Friday, adding that “the best possible result for RMDSZ is in the interest of the nation as a whole.”
At a press conference held jointly with Hunor Kelemen, RMDSZ’s candidate for Romanian president, Szijjártó said ensuring the best possible cooperation between Hungary and Romania and improving the living standards of Romania’s ethnic Hungarian community were two of Hungarian foreign policy’s important goals.
He said there was “a good chance” that RMDSZwould perform as well in Romania’s next legislative and presidential elections as it had in the European Parliament and local elections earlier this year.
Szijjártó said Romania’s full Schengen membership, increasing the number of crossing facilities along the Hungary-Romania border, and promotion of the Hungarian government’s economic programme would be among the top priorities in the coming period.
He added that during the remainder of Hungary’s presidency of the Council of the European Union, the government “will leave no stone unturned” to ensure Romania’s accession to Schengen.
Hungary, he added, wanted to begin work on five new border crossing points between the two countries as soon as possible.
“We’re also making preparations together for two new motorway links,” the minister said. “We’re preparing the construction of a new bridge at Magyarcsanad and a road border crossing at Kubekhaza. And I have signed an agreement with your transport minister on preparations for a Szeged-Timisoara rail line.”
Concerning the continuation of the economic development scheme, Szijjártó said the government has so far supported 6,000 businesses, generating 170 billion forints (EUR 417.2m) worth of investments.
“We are ready to build an even closer cooperation with Romania,” Szijjártó said, adding that he hoped RMDSZ would be part of the next Romanian government.
Kelemen said RMDSZ could only promote the security and survival of Romania’s ethnic Hungarian community if it had parliamentary and, if possible, governmental means to do so, for which it needed the support of Transylvanian Hungarians.
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VIDEO: How rude! Romanian President showed his back to PM Orbán for 20 seconds – read more HERE
The Interceptor 2024 military drill aimed to help Romanian and Hungarian pilots practice aerial combats and interception. Such drills have become a tradition lately, helping to improve the skills of the pilots.
First, Hungarian Gripen fighter jets intercepted their Romanian ‘adversaries’ flying on F-16 fighters in Romanian airspace. Then, they practised 2v2 BVR (Beyond Visual Range) aerial combat. In the second phase, they flew to Hungarian airspace, and the Romanian pilots intercepted their Hungarian colleagues and practised 2v2 BVR again.
According to the Facebook post, such training is necessary to develop the pilots’ skills, help protect Hungary’s and Romania’s airspace, and strengthen the cooperation of the NATOmember states.
PM Viktor Orbán was ready to greet him, but Romanian President Klaus Iohannis decided to wait for 20 seconds, showing his back to the Hungarian prime minister. PM Orbán did not understand the rudeness but waited for the President patiently with a confused grin.
The outgoing Romanian President Klaus Iohannisacted quite strangely when he arrived in Budapest for the EPC summit on Thursday morning. PM Viktor Orbán would have greeted him just like all other country leaders, but Iohannis did something unexpected.
After getting out of his car, he did not establish eye contact with PM Orbán and did not walk to him. Instead, he showed his back to the Hungarian prime minister for 20 seconds, standing behind his car and seemingly rearranging his clothes.
PM Orbán grinned but remained patient. PrtScr/X Video/ SzabadonMagyarul/X
News emerged that the Hungarian police made Iohannis wait and circulate the Puskás Aréna, the venue of the summit, for 15 minutes, so the Romanian President became angry. The Romanian Antena3 news channel wrotethat the driver missed the correct stadium entrance. That is why he had to do another round for 15 minutes. Iohannis is well-known for his impatient nature. In 2015, when he first arrived in Paris, he simply threw his coat on the car when nobody took it from him immediately. Even the Romanian media was startled by his deed and called it a controversial, even unfriendly gesture.
Shaking hands a bit later. They still do not seem too happy. Photo: MTI
Later, the Hungarian police said such allegations were only fake news. According to hvg.hu, the police followed the protocol, and nobody missed the stadium entrance.
Congratulating Trump, Romanian President Klaus Iohannis wrote on X: “Romania is a strong and committed Strategic Ally of the US. Through our joint efforts, we will bring peace and prosperity for both our countries and beyond, defending our common interests”, Anadolu news agency wrote.
Romania reiterates support for Moldova amid election, referendum
European leaders reiterated their support Thursday for Moldova as that country concluded a presidential election and referendum that saw accusations of external influence, particularly by President Maia Sandu.
A statement by the Moldovan presidency said Sandu held talks with several of her EU counterparts on the sidelines of the fifth European Political Community summit in the Hungarian capital of Budapest.
“We, the leaders of France, Germany, Italy, Poland, Romania, the United Kingdom, together with the President of the European Council and the President of the European Commission, reiterate our firm support for the Republic of Moldova following the meeting with President Maia Sandu,” it said.
It said they congratulate Moldovans for their “commitment to democracy, freedom and the rule of law,” which they said was seen in the presidential election that ended with Sandu securing a second term following a runoff earlier this month.
The statement indicated that European leaders welcomed the result of the referendum, which was held simultaneously Oct. 20, which enshrined Moldova’s EU accession aspirations in the country’s Constitution.
Moscow challenges the outcome
“We stand in solidarity with the Republic of Moldova in its quest for peace, prosperity and stability and reaffirm its rightful place in a free and democratic Europe,” it said, indicating that it happened despite “unprecedented attacks and foreign interference.”
“We strongly condemn documented attempts to influence election results through information manipulation, corruption and vote-buying schemes,” it said, adding that they reaffirm their determination to support Moldova in defending its sovereignty and territorial integrity.
Sandu won more than 55% of the vote in a presidential runoff Nov. 3, securing a second term as incumbent president. Kremlin spokesman Dmitry Peskov challenged Sandu to provide evidence of the alleged interference.
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The Court of Justice of the European Union (CJEU) on Wednesday dismissed a challenge by Hungary’s Wizz Air of European Commission clearance for close to EUR 2m in state aid for Romanian airline TAROM.
The EC had cleared the state aid, in the spring of 2022, to compensate for damage suffered because of the Covid-19 pandemic. The court ruled that the aid was permitted and that the EC had correctly assessed the proportionality of the aid. It rejected Wizz Air’sarguments that the EC had not taken into account previous rescue aid granted to TAROMand that it had underestimated the competitive advantage obtained by TAROM.Read also:
With Austria, Slovakia, and Romania drawing Hungarians across borders to work, recent statistics from the Hungarian Central Statistical Office (KSH) shed light on this growing trend of cross-border employment. Austria remains the most popular destination, with Slovakia and Romania emerging as surprising, though significant, alternatives for Hungarian workers.
Austria is the most popular foreign country for Hungarians to work
In 2022, the KSH reported that 122,000 Hungarian residents commuted to work abroad, making up nearly 3% of Hungary’s total workforce, Portfolio reports. Around 80% of these cross-border commuters headed to Austria, especially from western border towns, motivated by Austria’s higher wages despite the country’s higher cost of living. As of April 2024, Austria employs 118,000 Hungarians, marking a 4.4% increase in one year, according to G7. This influx makes Hungarians the second-largest foreign workforce in Austria, only outnumbered by Germans. Projections suggest that Hungarians may soon become the largest expatriate group in Austria, driven by wage differences and economic opportunities.
Interestingly, almost half of Hungarian employees in Austria commute rather than relocate, given Austria’s higher living costs. Commuting allows them to take advantage of Austria’s higher median wages—around EUR 2,000 monthly for Hungarians—without paying Austria’s elevated rent and consumer prices. Despite earning 27% less than the average Austrian, Hungarian wages in Austria are significantly higher than comparable wages at home, making commuting an attractive option. Yet, Hungarians in Austria often hold physical, non-office roles, with limited options for remote work, and the Hungarian government has yet to support remote work arrangements through a framework agreement, adding a layer of complexity to these cross-border jobs.
More and more people commute to Slovakia and Romania too
Surprisingly, Hungary’s eastern and northern border regions are also seeing substantial commuting patterns to Slovakia and Romania. According to KSH’s findings, many residents from Borsod-Abaúj-Zemplén County travel to Košice in Slovakia, while others from southeastern Hajdú-Bihar County commute to Oradea in Romania. Sándor Baja, CEO of Randstad Hungary, noted during the Budapest Economic Forum that a trip to Biharkeresztes would reveal “dozens of buses transporting Hungarian workers to Oradea.” This observation hints at a shifting perception of Romania’s wage competitiveness.
Recent insights challenge Hungary’s traditional view of Romania as a lower-wage country. As Árpád Boros, Staufen’s country manager for Hungary and Romania, explained, Romania’s wages have largely caught up with those in Hungary. In certain regions, wages in Romania even exceed those in Hungary, positioning Romania as an increasingly viable destination for Hungarian workers seeking better pay.
Higher wages key motivator for Hungarians
Higher wages remain a key motivator for these commuters, yet the decision is not purely financial. Austria’s living costs, 1.6 times those of Hungary’s according to Eurostat, mean that cost-adjusted wage advantages diminish, as we wrote earlier. When factoring in the cost of living, the Austrian median gross wage only represents a 1.6 times increase over Hungarian wages, rather than the 2.5 times difference indicated by unadjusted figures. Despite hopes that Hungary’s rising wages might curb cross-border commuting, the widening wage gap is pushing more Hungarians to seek better-paying opportunities abroad each year.
Whether in Austria’s bustling sectors or Romania and Slovakia’s border industries, the appeal of cross-border employment persists, fueled by wage disparities and limited remote work options at home. As neighbouring countries attract growing numbers of Hungarian workers, these cross-border patterns underscore the ongoing economic challenges faced by Hungary’s workforce.
The authors of an Italian geography book for fourth graders forgot about Hungary.
Italy is not that far away from Hungary. Yet, it seems that they forgot to include our country, which is more than 1000 years old, in the geography textbook of a rather innovative series of textbooks called Noi Supereroi 2030. Even if we look for Hungary on page 23, it is clear that it has been forgotten, writes gyerekszoba.hu.
Romania has taken Hungary’s place
According to the colour chart in the textbook, the country that shares borders with Austria, Slovenia, Croatia and Serbia is not Hungary but Romania.
Source: https://www.liscianiscuoladigitale.it/
Those who noticed the mistake reported to the geography teacher, who was also surprised and promised to correct the error in her class.
The problem was also reported to Lisciani Scuola, the publisher of the textbook, who has not yet commented.
Wizz Air’s direct flight from Budapest to Brașov (Romania), launched in the summer, has quickly gained popularity, prompting the low-cost airline to boost its service frequency over the holiday season. Between December 17 and January 11, the airline will increase the number of flights heading to Budapest.
Wizz Air to fly the Budapest-Brașov route more frequently
According to information shared by the local international airport and reported by Maszol on Monday, Wizz Air will offer additional flights between Budapest and Brașov during the holiday period. Instead of the usual three flights per week, passengers can now look forward to four weekly departures—on Tuesdays, Wednesdays, Thursdays, and Saturdays—from 17 December through 11 January.
Wizz Air inaugurated this route on 2 July, emphasising its significance for both cities and countries alike. This new connection primarily enhances access to the Szekler Land region from Hungary’s capital, as the city is closer to several Szekler settlements than other airports with direct flights to Budapest.
Maszol highlighted data from recent months that clearly reflects the route’s strong demand, with 5,000–6,000 monthly travelers between the two cities and occupancy rates exceeding 80%.
The international airport of Brașov, which opened in June 2023, is Romania’s first greenfield airport since the fall of the Iron Curtain. Its establishment was heavily backed by local councils in the Szekler Land, who view the airport as a vital link connecting the region’s Hungarian-speaking communities with the wider world.
Romania’s accession to the Schengen area as soon as possible is in Hungary’s national interest, Foreign Minister Péter Szijjártó said in parliament’s national cohesion committee on Monday, adding that the government hoped it could happen before the end of the Hungarian EU presidency.
Szijjártó talks about Romania’s Schengen accession
He outlined the difficulties arising from Romania not being part of the Schengen regime saying that “Romania has taken all necessary preparatory steps” to be co-opted, as indicated by assessments by Brussels experts and a near-unanimous support by EU members.
Referring to Austria’s refusal to back Romania’s Schengen entry, Szijjártó said it was an example of applying double standards. “Usually, when we decline to support something, it is immediately seen as breaching the ideals of the founding fathers and a shocking dissent from European unity … but when a western European country does the same it is taken as a legitimate application of rights arising from the EU treaties,” he said.
The Hungarian government is in constant consultations with Austria, he said, adding, however, that “the internal situation in Austria became unstable after the recent elections were not won by the forces ruling so far”. “The winner, however … is not given a chance to form a government,” he added.
Hungary is among the proponents of European support for Romania and Bulgaria to join the Schengen area as soon as possible, the minister said. Romania’s accession would also be “fully in line” with the interests of that country’s ethnic Hungarian community, he added.
Orbán’s son-in-law, István Tiborcz is reportedly in the final stages of negotiations to acquire the Equilibrium 1 office building in Bucharest through his Gránit Fund Management. Romanian newspaper Cotidianul reports that Swedish property giant Skanska may sell the building for between EUR 40-50 million, marking Tiborcz’s first major foray into Romania’s real estate market.
Orbán’s son-in-law enters into the Romanian real estate market
The Romanian Cotidianul news portal reports that Equilibrium 1, a Class A office building in Bucharest’s Barbu Văcărescu business district, offers 20,700 square metres of leasable space across 12 floors. Completed in 2019, the building features a modern design and 3,500 square metres of green space, attracting key tenants like Signal Iduna and Secom Healthcare. If Orbán’s son-in-law, István Tiborcz, completes the acquisition through Gránit Asset Management, it will reinforce his growing influence in the real estate sector and mark a strategic expansion into Central and Eastern Europe. This deal also aligns with Skanska’s model of developing and selling fully leased office projects.
Photo: Skanska
Skanska in Romania
As Cotidianul also notes, Swedish property giant Skanska, with global operations worth over EUR 13.8 billion in 2023, has been a key player in Romania’s office development sector since re-entering the market in 2007. Alongside Equilibrium 1, Skanska completed Equilibrium 2 in December 2022, though the latter has a lower occupancy rate, potentially delaying its sale. Orbán‘s son-in-law, István Tiborcz, has shown interest in acquiring Equilibrium 1 through Gránit Asset Management, aligning with Skanska’s model of selling fully leased office projects. Previous Skanska sales in Bucharest include Green Court and Campus 6, valued at EUR 129 million and EUR 150 million, respectively.
Hungarian investments in Romania
According to the news portal, the acquisition of Equilibrium 1 by Gránit Asset Management, led by Orbán’s son-in-law, István Tiborcz, highlights a growing trend of Hungarian investments in Romania’s real estate market. Investors from Hungary, such as the Adventum fund and Indotek, have been drawn to Romania’s economic potential, with Adventum purchasing Hermes Business Campus for over EUR 150 million and Indotek acquiring Plaza M mall and two office buildings in Bucharest. This surge in Hungarian interest is driven by surplus capital and the need to diversify, given Hungary’s smaller market size, alongside Romania’s relatively stable and growing real estate sector.
Tiborcz’s other investments
As we have reported HERE, Orbán’s son-in-law, István Tiborcz, is set to profit from another state-backed deal in Hungary, with Magyar Posta scheduled to purchase a logistics centre developed by his company, Waberer’s Group, in Ecser by 2026. This follows a familiar pattern of government support, with state institutions acquiring assets from Tiborcz’s ventures at inflated prices. The Hungarian government has discreetly invested billions in projects tied to Tiborcz, including real estate developments and solar plants, raising concerns about the transparency of Hungary’s economic policies.
Hungary would need 900 years to reach the purchasing power level of Vienna, Austria’s capital, according to a survey conducted by Eurostat, the EU’s statistical office. Among the capitals of the post-Communist Central and Eastern Europen region, Budapest is the second poorest, following Zagreb. Meanwhile, Bucharest developed significantly between 2013 and 2021, preceding even Vienna.
Hungary and Budapest among the poorest in the EU
According to Eurostat’s latest survey, in 2021, the “net primary income per inhabitant was 20,700 purchasing power standard (PPS), up from 19,500 PPS in 2020” in the EU. The wealthiest NUTS 2 (nomenclature of territorial units for statistics) regions are in Germany (Oberbayern being the wealthiest in the EU), France, Belgium and the Netherlands. The poorest are in Eastern Europe, including Hungary’s Northeastern, Croatia’s Eastern regions and several Romanian and Bulgarian territories.
“The use of data in PPS, rather than in euro, takes into account the price level differences between countries. One PPS can buy the same amount of goods and services in each country, regardless of local price differences”, the Eurostat wrote.
According to 24.hu, Budapest’s result in the statistics is disappointing especially if we compare it with Bucharest. Only Zagreb is poorer than Budapest among the post-Communist countries of the region. However, the statistics are not entirely comparable because Slovenia’s and Bulgaria’s capitals are not regions. If they were alone in the statistics without their presumably lower-income surroundings, they would probably score better.
Budapest’s lagging behind the other capitals is spectacular in the 2013-2021 period. The Hungarian capital could not precede any of the region’s capitals even though the difference between Budapest and Vienna, Warsaw or Bratislava (Pozsony) decreased. However, the enrichment of Sofia (and its region) and Prague was quicker than Budapest’s. Moreover, Bucharest emerged from the last but one position to the top.
Therefore, 444.hu wrote that Hungary needed more than 900 years to precede Vienna. Budapest needs “only” 30 years, but it’s important to note that the Austrian capital is Austria’s second poorest NUTS 2 region. Meanwhile, Budapest is Hungary’s wealthiest.
Photo: Daily News Hungary
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The government is working to establish transport hubs on the Hungarian Plain, and Békéscsaba, in the southeast of the country, will become one of them, Construction and Transportation Minister Janos Lázár said in the county seat on Friday.
After talks with city leaders, Lázársaid the sides had agreed that the government should include Bekescsaba and Szolnok in the government’s development plans for the cities of Szeged, Kecskemét and Debrecen. They also discussed extending the M44 expressway to the border with Romania and expanding road no. 47 into a dual carriageway, he added.
In addition to cross-border connections between the Hungarian cities of Nyiregyhaza, Debrecen and Szeged, and their Romanian neighbours of Satu Mare, Oradea and Timisoara, now Békéscsaba and Arad, across the border, would become a transport hub, supporting Bekescsaba’s role as a logistics and distribution centre, he said.
Békéscsaba Mayor Péter Szarvas said he was “optimistic” that the city’s development, both in terms of economy and quality of local services, would continue to accelerate in the coming five years.
Lázár in Békéscsaba. Photo: FB/János Lázár
Lázár said adding another 43km to the M44, bringing it to the border with Romania, would cost around HUF 300bn. He added that the HUF 6.5bn contract on planning the extension had been signed.
He said the expansion of road no. 47 would start north of Bekescsaba, first on the stretch to Szeghalom, and later to Berettyóújfalu.
He said funding had already been earmarked to plan a bypass on the southern fringe of the city.
He said that efforts would be made to accelerate the development of the city’s airport and put the cost of reconstruction, implemented in part as a military project, at HUF 20bn.
Other possible investments discussed included a railway container terminal, a new stadium and swimming pool, and the paving of dirt roads, he said. Rolling stock that serves the region will be upgraded starting in 2025, he added.
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Much is at stake at the Romanian parliamentary and presidential elections, and the success of ethnic Hungarian party RMDSZ is a guarantee to good Hungarian-Romanian relations, the head of the Prime Minister’s Office said in Sfantu Gheorghe (Sepsiszentgyörgy) on Thursday. About the outgoing Romanian President Iohannis, he said that he brought “more disappointment than joy”.
Speaking at a panel discussion as part of a tour of Transylvania, Gergely Gulyássaid that cooperation had been considerably better between the governments every time RMDSZ was part of the Romanian ruling coalition, “and the life opportunities of Transylvania Hungarians were significantly better, more expansive, wider”.
“Therefore, everything must be done to ensure that RMDSZhas the largest possible representation in the Romanian parliament,” Gulyás said. Chances are good for a better-than-before result, “but all Transylvania Hungarians must grasp the importance of the best possible results of presidential candidate Hunor Kelemen and RMDSZ candidates,” he said.
Laying the cornerstone of the new building of the Hungarian university Sapientia operating in Romania. Photo: MTI
The Romanian state “should be proud of the achievements of Transylvania Hungarians in the past decades, rather than seeing them as opponents,” Gulyás said at the discussion with Arpad Antal, the mayor of Sfantu Gheorghe, and Kovászna county council president Sándor Tamás.
Minister: Klaus Iohannis “brought more disappointment than joy”
Gulyás said Romanian-Hungarian relations had been “changing” since the fall of communism, adding that the decade-long presidency of Klaus Iohannis “brought more disappointment than joy”. “Romania could not accept the traditions and symbols of Transylvania Hungarians, and the outgoing president was not a unifying force in that respect,” Gulyás said, expressing hope that the new president and parliament could bring improving relations.
Photo: FB/Iohannis
Hungary has been cooperating with Romania to promote the country’s Schengen accession, and aims to bring about a decision making Romania a full member of the Schengen Area during Hungary’s presidency of the EU council, he said, adding that “there’s a chance of a decision in December”.
The EU is losing its competitiveness in comparison with China, and protecting the external borders of the Schengen Area is the only way to prevent the “implosion of the internal border-less zone”, Gulyás said.
Gergely Gulyás and RMDSZ President Hunor Kelemen. Photo: MTI
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A base of Hungarian aircraft maintenance, repair and overhaul company Aeroplex, established with the cooperation of Romaero, was inaugurated in Bucharest on Thursday.
The base was inaugurated by National Economy Minister Márton Nagy and his Romanian counterpart Stefan-Radu Oprea. Nagy said the role of air transport in strengthening countries’ competitiveness and connectivity was on the rise. He added that Aeroplex’s expansion in the region wouldn’t stop in Bucharest. Aeroplex’s first client in Bucharest is Lithuanian charter service KlasJet.“Established in 1992 in Budapest, Aeroplex of Central Europe has evolved into a dynamic and independent MRO (Maintenance, Repair, and Overhaul) organization with a significant presence in the European aviation industry. Our comprehensive offerings cover a spectrum of services, from base and line maintenance and component repair”, Aeroplex introduces themselves on their website.
Photo: MTI
Photo: MTI
Photo: MTI
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Pensioners in Romania now benefit from a German-style points system. Romania’s reforms, which account for both inflation and wages, mean that Romanian pensioners now receive higher pensions than their Hungarian counterparts. Hungary’s reluctance to reform has placed its retired citizens at a disadvantage.
More significant pension rise in Romania
As Szeretlek Magyarország writes, Romania has introduced a German-style pension points system, leading to more substantial pension increases than in Hungary, where the government has been slow to reform. Romanian pensions are now linked not only to inflation but also to wage levels. Over recent years, pensions in Romania have risen by nearly 40%, while in Hungary, they have barely increased by 10%. For the first time, Romanian pensioners are receiving higher pensions than their Hungarian counterparts, a clear indicator of Romania’s effective pension reforms. According to pension expert András Farkas, without changes, the Hungarian system could leave its pensioners further disadvantaged.
Photo: pexels
Romania takes the lead
Once comparing itself to Austria, Hungary now finds itself looking towards Romania in discussions on pensions. While both countries submitted Recovery and Resilience Plans (RRF) for EU funding post-Covid, Hungary has yet to commit to the pension reforms due by 31 March next year. Romania, by contrast, enacted a law in 2023 to recalculate pensions from 1 September 2024, impacting 3.8 million pensioners. This recalculation, part of wider pension reforms, has resulted in average increases of 40%, with some Romanian pensioners seeing rises as high as 80%. Unlike Hungary, Romanian pensions will increase in line with both inflation and gross wage growth, giving Romanian pensioners a clear advantage.
Why is Hungary reluctant to change?
Hungary’s inaction on pension reform is partly linked to the Recovery and Resilience Fund (RRF) payments being withheld by the European Commission. One of the 27 commitments required for these funds was pension reform, for which an OECD expert study was conducted. However, the Hungarian government has not made the study public, insisting that the current pension system is adequate. The Ministry of Finance claims that pensioners’ purchasing power is protected and the 13th-month pension is secure, rejecting the need for reforms. As a result, Hungary risks losing EUR 6 billion in non-repayable aid.
Despite this, the Hungarian government had committed to all the milestones in its own RRF plan, which included pension reform. Experts argue that reform is crucial, pointing to Romania’s successful implementation, which has greatly improved pensioners’ living standards. By ignoring these reforms, Hungary risks further impoverishment of its pensioners and missing out on substantial EU funds that could improve their situation.
Potential changes
The expert points out that compared to Romania’s progressive pension reforms, Hungary’s potential changes, as proposed by the OECD, would be far less substantial and fail to modernise the system. Romania has adopted a German-inspired model with incentives for longer work and significant pension increases, while Hungary’s suggested reforms, such as raising the retirement age and recalibrating pension rates, would not address long-term challenges for future pensioners. Despite Hungary having a more favourable worker-to-pensioner ratio, careful consideration is needed to avoid costly missteps, such as revising the “Women’s 40” scheme and the 13th-month pension.
