That is how Hungary would like to attract foreign, non-EU investors to spend their money here.
According to Piac és Profit, the term ‘golden visa’ refers to special types of investments with which people can easily acquire the right to stay in a country.
Hungary began its brand new ‘Hungarian Guest Investor Program’ in January 2024, for which all non-EU citizens are eligible.
Those possessing this visa can travel to Hungary multiple times and stay here. They will have a so-called ‘guest investor residency’ permit to stay in Hungary.
However, there are some criteria you need to meet to get that kind of visa.
First, you can invest at least EUR 250,000 in Hungary. That investment is due within 90 days after your visa application approval. That means you cannot promise the Hungarian authorities that you will invest money in Hungary. You have three months to place your money here after you get that permit.
Your second option is to buy property in Hungary for at least EUR 500,000, and you cannot sell it for five years. That is why a surge of foreign investors is expected in Hungary’s luxury real estate market. We wrote about that HERE.
Read also:
Hungary is one of the best countries for digital nomads in 2024 – Read more HERE
Budapest has one of the cheapest pints in major European cities – Details in THISarticle
The third option is that you support an educational, scientific, research or art project in Hungary with EUR 1 million at least. However, you can only get a visa if you help a foundation university in Hungary with that money.
The validity of the visa is 10 years (which can be extended by another 10 years), and you can spend 90 days in Hungary in a 180-day-long time interval. Furthermore, you may travel freely in the Schengen Zone, which is a considerable advantage. You can bring even your family with you!
Foreigners in Ukraine fleeing from the war can apply for a residency permit in Hungary to stay in the country “with a specific purpose”, the immigration authority told MTI on Thursday.
Under a recent government decree, Ukrainian nationals, their families, as well as people recognised by Ukrainian authorities as refugees can apply for asylum in Hungary. Non-Ukrainians that were staying in Ukraine legally and crossed into Hungary after February 24 can request assistance for returning to their native country or can apply for residency in Hungary if they have a definite purpose, the authority said.
The authority is working to assist refugees with travel and accommodation in Hungary, as well as to provide the necessary documents so that “their stay in Hungary is legitimate”, they said.
So far,
the authority has received 1,677 asylum applications,
Meanwhile, lawmakers on Thursday adopted a political declaration on the war between Russia and Ukraine, condemning Russia’s military intervention and voicing support for Ukraine’s sovereignty. The declaration was approved with 174 votes in favour, 1 vote against and 2 abstentions.
The document submitted by parliament’s foreign affairs committee declares Hungary’s condemnation of Russia’s military intervention and that Hungary stands by the inviolability of Ukraine’s sovereignty and territorial integrity. It urges an immediate cessation of hostilities and the start of peace talks. According to the declaration, Hungary, as a member of NATO, expresses its agreement with the “responsible remarks” of the alliance’s leaders that the conflict must not spread to the alliance’s member states.
The document also declares that Hungary must stay out of the war and that no one should be allowed to drag the country into the conflict. It underlines that Hungary will not send troops or weapons to Ukraine on a bilateral basis or allow lethal aid to cross its border with Ukraine.
The declaration calls on public figures and the media to refrain from remarks that would endanger the security of Hungary and the Hungarian people, as well from demands that Hungary send troops and weapons to the war, which it qualifies as “dangerous and irresponsible”.
It also calls for respect for the rights of the ethnic Hungarian community in western Ukraine’s Transcarpathia region, and reaffirms Hungary’s call for the launch of Ukraine’s EU accession process.
The declaration also calls it a duty to help every Hungarian, Ukrainian or other national who flees to Hungary from the war.
The opposition Democratic Coalition (DK) has called on the government to release the names of Russian nationals who have purchased residency bonds, securities whose buyers enjoy an accelerated procedure for permanent residency in Hungary.
At an online press conference on Monday, DK deputy leader László Varjú also urged the government to review all Russian residency bond purchases.
Varjú said the government had granted permanent residency in Hungary and free movement in Europe to more than 1,200 Russian citizens through its residency bond scheme. He said DK wanted to know “how many Russian spies, saboteurs and oligarchs linked to [Russian President Vladimir] Putin” had been allowed into Hungary “in the name of the uncritical friendship with Putin”.
Varjú said the press in the past had uncovered the identities of several Russian residency bond buyers, naming Sergey Naryshkin, the head of Russia’s foreign intelligence agency, Iliaz Muslimov, a former member of the Russian parliament, and Alexei Yankevich, a board member of a subsidiary of Russian energy giant Gazprom, and their families, as examples.
Hungary has become a “migrant destination” despite “high-sounding pledges” by ruling Fidesz, György Szilágyi, lawmaker of conservative Jobbik, told a press conference on Wednesday.
Szilágyi insisted that Hungarian authorities had registered a total of 135,355 immigrants between 2015 and 2018, and added that the annual number more than doubled in the period.
He quoted Prime Minister Viktor Orbán as saying earlier that Hungary would face “recession and decay” if it becomes an “immigrant country”. Orbán has urged to expel from the country “those organising migration”, he added.
The ruling parties have “released tens of thousands of residency bond holders and foreign guest workers onto the country”,
Jobbik MP Szilágyi said, and insisted that the Fidesz-Christian Democrat parties were “the number one organisers of migration”. The government fails to ensure higher wages and jobs to encourage the hundreds of thousands of young Hungarians that sought employment abroad; instead, it will “import migrant labourers” and “keep wages low to the detriment of Hungarian employees,” he said.
According to opposition LMP, the Hungarian foreign ministry has “turned into a travel agency for criminals”, while Hungarian embassies “carry out the prime minister’s personal orders” rather than represent the country, LMP co-leader Márta Demeter told a press conference on Friday.
The Hungarian diplomatic corps “is used as a cover for criminal activities”, which poses “the highest degree of security risk”, Demeter insisted.
The former Socialist politician slammed the government for using the Hungarian cultural institute in Moscow to house a company that sold Hungarian residency bonds. She cited Russian press reports as alleging that some of the bonds had ended up with a businessman associated with a criminal organisation.
Demeter criticised the foreign ministry for allowing “unscreened Uzhbek persons” access to technical details of the Hungarian embassy in Tashkent in the course of a renovation project, as well as for allegedly destroying documents concerning the visa applications of suspected criminals.
“The Hungarian state also founded a joint company with a now deceased international criminal, Ghaith Pharaon, who was wanted for financing terrorism,” she added.
Hungarian MEPs yesterday were divided on a report passed by the European Parliament calling on Hungary to extradite former Macedonian Prime Minister Nikola Gruevski, read more HERE.
Prime Minister Viktor Orbán and his government put the security of Hungarians and other EU citizens at risk by selling residency bonds to foreigners without appropriate vetting, the deputy leader of leftist opposition Democratic Coalition (DL) said on Wednesday.
The government has granted citizenships and passports without thorough examination to 20,000 people from China, Russia, some Arab countries and other nations, Ágnes Vadai told a press conference. Criminals and terrorists have also gained citizenship this way, and Hungary’s counter-terrorism force TEK has since arrested some of them, she said.
The EU cannot watch idly as the “loudly anti-migrant” Hungarian government secretly lets tens of thousands of people into the EU, Vadai said.
It is “shameful” that the Hungarian government risks the security of EU citizens while styling itself as Europe’s saviour, she said.
DK has turned to the EU, asking it to take action against the government’s “treason” of Hungary and the bloc, she said.
The Hungarian government should have conducted comprehensive checks as to the national security risks of admitting these individuals, Vadai said in response to a question.
It should also retroactively investigate the source of funds for which the residency bonds had been bought, she said.
According to 444.hu, an event entitled “Hungary – gateway to Europe” took place in Hanoi in May. The event lasted for three hours and attracted around 200 people. In the centre of it was a Vietnamese company explaining how to obtain a residence permit in Hungary through real estate investment.
The Vietnamese idea to receive a residence permit
Apparently, the event was a success, as the company posted later on Facebook that “a lot of investors registered for the program”. The company mentioned is the Bac Son Overseas Property (BSOP). They did not hide the fact that their outlined plan for residence permits came to life to replace the highly criticised residency bonds program of last year that has since been suspended.
According to the BSOP site, “The residency bonds program was shut down in March of 2017, therefore we had to find other ways to provide opportunities in Hungary for the Vietnamese. This new option is the real estate investment program.”
Between these two options, however, there is a significant difference.
Between 2013 and 2017, foreigners were able to obtain residence permits in exchange for participating in the bonds program launched by Antal Rogán and buying state bonds. However, the program raised several security concerns, not to mention the corruption accusations, so it was suspended last year. The 2019 budget regulation seemed to suggest that the bonds program would come to an end legally, too.
However, trading with Hungarian government bonds is apparently still not over.
Apart from BSOP, two other Vietnamese companies offer similar opportunities – buying Hungarian state bonds in exchange for residence permits – two of which have been involved with the now-suspended program as well. Also, similar offers appeared in China, too, about two months ago.
The Ministry for Home Affairs denies the existence of these programs, claiming that the Hungarian government is not involved in any real estate-based programs that could potentially lead to residence permits. In fact, they later added that “Frauds are trying to embarrass Hungary. We have taken measures to start criminal proceedings.”
BSOP declined to make any comments. Gábor Földvári, the owner of Innozone Holdings Ltd., another company involved, claims that they are not advertising one of the government’s programs but experimenting with how to make the most of the opportunities offered by these laws.
Other ways of staying
According to the Vietnamese advertisements, real estate investment-immigration can happen because of the 2007 laws regulating the entering and staying of foreigners in Hungary.
The Immigration and Asylum Office of Hungary can assign residence permits for foreigners for several different reasons, be that working, studying or doing research. Apart from these, there is the option to assign residence permits simply based on ‘other’ reasons.
They work on a case-by-case basis and investigate each individual case when deciding whether they are eligible for the ‘other’ category. However, three anonymous lawyers claim that it was possible for foreigners to obtain residence permits considering their real estate involvement even before the government bonds program and this does not seem to change after the suspension of the program, either.
In regards to the Chinese company advertising a similar program, they claim that they have been in contact with the Immigration and Asylum Office, so the program is guaranteed. However, this has been denied by the Office since then, adding that they never have and will never give such a guarantee. The Vietnamese advertisements are much more careful, though, warning that there is no guarantee for the permit and that the opportunity is limited, with only 10-25 people having the possibility each month to get a residence permit based on their real estate investments. This also means that there may be a months-long waiting list.
On the other hand, several differences appear between the residency bonds and the advertisements for investors.
The former got permanent residence permits instantly, allowing them to stay in the country for an indefinite amount of time, while the latter get theirs only for 5 years and it does not allow investors to get jobs but they are allowed free movement in the Schengen-zone.
And, after three years of staying in Hungary, it is possible to apply for a permanent residence permit for them, too.
Bonds behind the real estate investment schemes
In Vietnam, several companies are advertising the Hungarian real estate investment opportunity, with different prices and courses of action due. However, BSOP, run by Vietnamese private persons, also advertises investment opportunities in Portugal and Cyprus.
The Hungarian program is still the cheapest, though. There are offers of residence permits for real estate investments starting at 50 thousand EUR,
while other starting prices displayed on different sites are 115 thousand EUR or 265 thousand EUR.
The advertisements by Innozone Holdings Ltd. claim that an 80 thousand EUR investment is enough for a residence permit, although the owner emphasised that the decision lies with the Immigration and Asylum Office and each case may be different, with different investment requirements.
“Our advice is that it is not worth trying anything with under 80 thousand EUR and it is better to have investments of about a few hundred thousand EUR. That is why we are advertising real estate investment opportunities in Spain, Greece and Portugal where the regulations are clearer rather than in Hungary.”
They do offer to help with the Hungarian investment program as well, with the involvement of lawyers and a possibility to get some of the money back in case of failure. They also work together with the European Settlement Immigration Services that was also involved with the residency bonds program. From October 2016, they were selling bonds half-price in Vietnam, working together with Innozone among others. Older advertisements revealed, however, that investors had to pay 65 thousand EUR of admin fee on top of the 85 thousand EUR investment. However, the fee involved a lawyer, translations as well as a 6-day-long Hungarian sightseeing tour that also allowed investors to check out some real estate options.
What Hungary has to offer
Just like the prior, Chinese advertisements, the Vietnamese ads also paint a very favourable picture of Hungary.
They emphasise the possibility to move freely in the Schengen-zone with a Hungarian residence permit.
Those who choose to remain in Hungary will be met with nice weather, friendly locals and a well-equipped, “surprisingly cheap” healthcare system, according to these ads. They also point out the high level of the Hungarian education system, adding that there are about 20 Hungarian Nobel Prize winners.
The government’s immigration policy has also been praised, claiming that the fence built against migrants primarily coming from Muslim countries was one of the most important decisions of the last five years: “As a result, Hungary is much safer and more peaceful than other European countries.” The website suggests that this is an important factor in attracting foreign investors to the country.
The five agents licensed to sell residency bonds under the government’s scheme have “robbed the state” of 17.5 billion forints (EUR 53.8m) they had generated in unpaid taxes on their off-shore businesses, Richárd Barabás told a press conference, adding that those involved in these businesses should be identified and brought to justice.
Under the scheme running from the summer of 2013 until March 2017, foreign nationals who bought securities from a licensed agent backed by the residency bonds could apply in an accelerated procedure for permanent residency in Hungary. The threshold for the residency bond purchase was set at 250,000 euros early in the scheme and raised to 300,000 euros later on.
An economy ministry official said in October last year that the state of Hungary had raised 517 billion forints through the scheme.
He welcomed the termination of the scheme, but insisted that by operating the scheme it was in fact the Fidesz-led government that “had organised the settlement of foreigners” in Hungary, for which reason the recently announced new levy for supporting immigration should be imposed on them.
The foreign ministry on Wednesday denied media reports that it has launched a scheme tying the issuance of residency permits to the purchase of property in Hungary.
“The government has not launched nor does it support any property-based residency permit scheme,” the ministry said in a statement. Those who submit residency applications citing a property purchase will not automatically receive residency permits in Hungary, it added.
“The Hungarian Embassy in Beijing has clarified on its consular service website that reports in certain Chinese and Hungarian media outlets claiming that Hungary has launched property-based residency permit programme are lies,”
the statement said. “Our embassy has sent the government’s official position to every portal and social media platform that has published the fake news report.” The ministry said it had asked the platforms in question to take down the report and to publish the official government position.
Several media outlets have reported that a Chinese company was advertising a new Hungarian residency permit scheme tied to the purchase of property on social media.
It is reportedly being advertised as “property investment immigration” and ties the offer of a residency permit to a minimum 25 million forint (EUR 79,000) property investment and the payment of a 50,000 euro administrative fee.
The advertisement is reportedly linked to the Hong Kong-based company LSP International, whose owner, Chinese entrepreneur Lian Wang, had participated in the residency bond scheme that was suspended last year.
Index.hu reported before Hungary let mostly Russians with Ukrainian papers into the EU. Since the Hungarian citizenship is cheaper than the Spanish or Hungarian minister Rogán’s residency bond program, many try to buy it on the Internet. And if there is a need, there will be a supply. Read more HERE.
Also we published an interview with a man named Han, who came from Peking to Budapest. He sold his housing back in China and moved to District XVIII to live there with his family. But what does he think of Hungary as a place of residence? Read more HERE.
Opposition Jobbik party on Friday re-submitted an amendment proposal to Hungary’s constitution, the party’s deputy leader told a press conference.
János Volner highlighted the importance of border protection, and argued for the necessity of re-introducing a border guard, a proposal which the party has advocated since 2010. He added that another proposal, aimed at banning residency bonds in Hungary, has been added to the amendment.
Volner said his party was ready to support ruling Fidesz’s “anti-quota” constitutional amendment proposal.
Concerning the government’s residency bond programme, Volner said that people close to the government had realised “huge profits” on the bonds, while the programme had “compromised Hungary’s security through allowing migrants in the country several times as many as the number proposed by Brussels”.
Jobbik will say no to the government’s “accommodating migrants for money”.
Fidesz parliament group urges parliament legislation on ‘Stop Soros’ bill
The leader of the ruling Fidesz party’s group in Hungary’s new parliament urged the government to declare an intention to carry on legislating in connection with the “Stop Soros” bill, on Friday.
The government submitted in February to parliament a package of bills referred to as Stop Soros before the parliamentary elections on April 8. The “Stop Soros” bill seeks to sanction NGOs supporting migration.
Máté Kocsis, the group leader, told MTI that he called for the legislation considering the issue’s border protection and illegal migration aspects.
Index.hu reported before how Hungary messed its regulation up regarding double citizenship which aimed to enable Hungarians living in the Carpathian Basin to get back their long taken citizenship easier. However, according to index.hu, Hungary let mostly Russians with Ukrainian papers into the EU. Since the Hungarian citizenship is cheaper than the Spanish or Hungarian minister Rogán’s residency bond program, many try to buy it on the Internet. And if there is a need, there will be a supply.
Firstly, the government called index.hu traitor of the national interest because of their report on the issue. Later, they slowly admitted that cheats happened. Finally, they fired and sued some low-level administrators, mostly from Eastern-Hungary. However, no mayors, notaries, or Ukrainian mob leaders were arrested since then. Though the first scandal regarding the issue erupted four years ago, Hungarian citizenship can still be bought on the Internet. In fact, they are sold on the dark web in which criminals are interested in.
Citizenship to the EU
Currently, the Hungarian citizenship is being sold on Dream Market. In fact, the seller group do not seem too trustworthy since they do not have any satisfied customers. They request
5,000 dollars or 1 bitcoin before and 10,000 or 2 bitcoins after the customer gets the citizenship.
In return, they promise that in six months even with totally fake data one can become a Hungarian citizen. However, they do not forge papers so customers have to bring authentic-appearing documents.
Furthermore, the seller group only promises that they will send an official document issued by the Hungarian state which testifies that they started the process. The group merchandises with the Hungarian citizenship in big amounts. According to index.hu, they seem to be specialised on this task.
The only challenge for them is to put such data in the Hungarian public administration system that the claimer knows the language and has at least one Hungarian ancestor. This is because
nobody checks
whether a certain Hungarian e.g. grandmother was indeed born in 1915 in the former Hungarian Kingdom.
Expensive, but original
People mostly bargain with illegal digital services, drugs, fake citizenship or passports on the dark web. For example, we can quickly acquire false Ukrainian and Romanian documents or even Hungarian ancestors on this market. Of course, if someone wants a real passport, it is much more expensive. However,
for 15,000 dollars nothing is impossible,
but the client has to go to Hungary or to a consulate to swear the oath.
In fact, buying Hungarian citizenship is much cheaper than cabinet minister Rogán’s residency bond program. In the latter case, all applicants had to register state bonds worth of 300 thousand EUR and pay further 45-60 thousand EUR service charge. Thus,
buying a citizenship is much cheaper.
Interestingly, Spanish is the other popular citizenship on the market; however, it is much more expensive.
Gergely Karácsony, PM candidate of the opposition Socialist-Párbeszéd alliance, discussed plans to set up an anti-corruption prosecutor’s office with members of its shadow cabinet and other experts in Budapest, on Sunday.
Karácsony told a press conference afterwards that his ten-point programme as prime ministerial candidate included “reclaiming in court the private property linked to Fidesz and originating from taxpayer money”.
The alliance would set up the anti-fraud office, support Hungary’s accession to the European Public Prosecutor’s Office and press for rules that would wipe out corruption once and for all, Karácsony said.
Former minority rights ombudsman Jenő Kaltenbach whom Karácsony asked to lead the office said that corruption costs Hungary an annual 500 billion forints (EUR 1.56bn), which corresponds to half of EU support.
Because of corruption, the majority of Hungarians have lost confidence in politicians, Kaltenbach said. Citing a recent survey, he said that merely 23 percent of Hungarians, the lowest rate in Europe, see a chance of efficient action against corruption.
Socialist lawmaker Tamás Harangozó said that once elected into power the Socialists would impose a 75 percent “oligarch tax” on companies that are selling residency bonds and on extra profits generated merely through domestic and EU public procurements.
THIS IS HOW REFORMED CORRUPTION IN HUNGARY
Not only Transparency International’s (TI) new report is stunning for Hungary. In fact, hvg.hu compared reports on corruption from the last 15 years. According to them, corruption became systematic in Hungary. Read more HERE.
Direkt36 interviewed a man named Han, who came from Peking to Budapest. He sold his housing back in China and moved to District XVIII to live there with his family, as 444 reported. But what does he think of Hungary as a place of residence?
First of all, Han praised the public security, which many foreigners find satisfying. Since 2013, more than 15,000 Chinese citizens moved to Hungary through residency bonds and Han was one of them. He claims that he likes living in Budapest.
The program was initiated by Antal Rogán, and it lasted until April 2017. He stated that as far as he knows, none of the bond owners has actually settled in Hungary. Direkt36 revealed quite the contrary: there are bond owners who moved in with their families, and they are planning to stay for a longer term.
The article was written as a part of the joint project of Organized Crime and Corruption Reporting Project and Transparency International. This initiation revealed the details of different visa programs, including the Hungarian residency bond.
Several member states of the EU offer Golden Visa for investors from abroad, but Hungary is especially popular.
The main reason is that the price of the investors is returned to them after five years. Moreover, their close relatives also receive permission to roam freely among the Schengen borders.
Han stated that they did not plan to move to Hungary first, as the only thing he knew about this country was football player Ferenc Puskás. The first target was Canada, but it seemed a little bit too expensive and complicated. Then came Hungary as plan B.
Hungary State Special Debt Management Fund (HSSDF) is the company that sells the bonds to Chinese customers. This enterprise is registered in the Cayman Islands, one of the greatest offshore centers in the world.
Antal Rogán stated that HSSDF is not an offshore company as the finance committee knows the owners.
Another Chinese immigrant told Direkt36 that reality in Hungary could be disappointing compared to its advertisements in China. He claimed that most of the Chinese people who move to Hungary come with the hope of a calmer life and the better education. The advertisements also emphasize the excellent healthcare and clean environment of Hungary.
Jobbik leader Gábor Vona on Tuesday accused the government of misleading the public over migration.
The opposition leader cited deputy state secretary Kristóf Altusz as saying in an interview to a Maltese newspaper that Hungary had taken in 508 refugees in 2015, 432 in 2016 and 1,291 last year.
Over the past three years, Prime Minister Viktor Orbán “generated mass hysteria” in Hungarian society over the issue of migration, spending 22 billion forints (EUR 71m) on a referendum campaign and “National Consultation” public survey and promising that Hungary would not allow the forced settlement of migrants, Vona said. Yet the government is now pretending as if nothing had happened, he added.
Jobbik is calling for an extraordinary session of parliament and expects Orbán to give account of the issue in person, he said.
Vona accused the government of failing to protect the country’s security, insisting that Hungary had no dedicated border guard and the government ran a scheme offering permanent residence to foreigners who bought Hungarian residency bonds.
Foreign Minister Péter Szijjártó, asked earlier how Hungary could have “secretly” taken in 1,300 refugees while it regularly speaks out against Europe’s migrant quota scheme that would allocate 1,294 refugees to the country, said Hungary was fighting the mandatory quota scheme because it would relocate illegal migrants in the European Union and strip member states of their right to decide who they want to take in. He argued that Hungary’s taking in refugees under the Geneva Convention was a separate matter.
According to Magyar Nemzet, 19,885 people received a national permanent residence permit based on newly published data of the Immigration and Asylum Office (IAO). Compared to that, the government chose the protection of Hungary from immigrants to be their leading message in the 2018 electoral campaign. As we reported, opposition parties strongly criticized the bond program before. To their mind, it gave perfect opportunity for even potential terrorists to come to Hungary and gain free movement within Schengen, if they pay the required money. Therefore, the government suspended the program in March with a decree. However, this means that they can start it again whenever they want.
Residency bonds: the business of the cabinet minister?
More than six months passed since the government suspended the residency bond program in March. However, IAO published the number of immigrants gaining a national permanent residence permit only nine months later. In contrast, the decree suspending the program prescribed unambiguously that
data should have been published by at least September.
But this is not the only problem regarding the program.
According to their data, thanks to the program 6,358 third-country nationals have received national a permanent residence permits so far. As we reported, they had to register state bonds worth of 300 thousand EUR and pay further 45-60 thousand EUR service charge. However, the Hungarian state guaranteed a 29 thousand EUR yield to all investors after 5 years. In addition, the program was
organized by offshore companies all having strong connections to Head of Cabinet of the Prime Minister, Antal Rogán.
All in all,
the program was a success for both third-country nationals and offshore companies, while Hungarian tax payers bear the burden of paying back the money with interest.
Thus, it is not surprising that the strongest opposition party, Jobbik, would have liked to incorporate the ban of the program into an amendment to the constitution, because they considered it non-transparent and dangerous to national security. However, government parties outvoted them.
Protecting Hungary from immigration?
According to IAO, an additional 13,300 immigrants received a national permanent residence permit through family reunification. However, the office does not have data on those who received only a national residence permit. Therefore, the final number of the recipients might become higher.
All in all, at least
19,885 foreigners took part in the government’s residence bond program
facilitating immigration. This number is 15 times higher than the number of immigrants Hungary was expected to receive by the EU. In addition, the government chose the protection of Hungary from immigrants to be their main message in the 2018 electoral campaign. To put it in another way,
Magyar Nemzet did some research on the numbers regarding the residency bonds program, because those do not agree with what IAO communicates. For example, according to IAO 6,585 people received national permanent residence permit as an investor. However, offshore companies organizing the program registered state bonds for 6,570 people. Thus, it seems that 15 people received one of the two kinds of residence permit without registering state bonds.
Magyar Nemzet asked IAO about the controversial data, but it has not received any answers yet.
In fact, foreigners from 58 different countries received national permanent residence permits. Most of them are Chinese, but
many came from Muslim countries like Iraq, Afghanistan or Iran.
In addition, it is interesting that even Americans, Australians and people from New-Zealander took part in the program.
See below MTI’s main business and financial news from the previous week:
COMPARING BUDAPEST RENTAL PRICES TO OTHER METROPOLISES
In Budapest, one can rent an apartment for almost half the price of the same flat in Vienna or in Frankfurt am Main. The data comes from a study conducted by rentcafe.com, an American site designed to help people to find apartments for rent. It was Otthon Centrum, a Hungarian real estate site, that compared findings to Budapest’s rental prices. Read more HERE.
HUNGARY CONSTRUCTION SECTOR OUTPUT JUMPS 36.8 PC IN AUGUST
Output of Hungary’s construction sector rose by an annual 36.8 percent in August albeit from a low base, the Central Statistical Office (KSH) said. Output of the building segment was up 46.8 percent and output of the civil engineering segment rose by 24.1 percent. Read more HERE.
GOVERNMENT AIMS TO RAISE TOURISM CONTRIBUTION TO 16 PC OF GDP
The government aims to raise tourism’s share of GDP from 10 percent to 16 percent by 2030, Prime Minister Viktor Orbán said, unveiling a national strategy for the sector that runs until 2030. The strategy targets an increase in tourism jobs from 364,000 to 450,000.
BECTON DICKINSON INAUGURATES EUR 19.5m PLANT
US medical technology company Becton Dickinson inaugurated a 6 billion forint (EUR 19.5m) plant in Tatabánya, in northwestern Hungary. The investment created 107 jobs, of which more than half require a graduate or post-graduate degree.
PENNY MARKET INAUGURATES HUF 9BN LOGISTICS BASE
German-owned discount market chain Penny Market inaugurated a 9 billion forint (EUR 29.2m) logistics base in Veszprém, in western Hungary. The 26,500sqm base is Penny Market’s third in Hungary.
HUNGARY GROSS WAGES CLIMB 13.2PC IN AUGUST
The average gross wage in Hungary rose by 13.2 percent annually to 292,400 forints (EUR 949) in August, KSH said. KSH noted that wages have been boosted by a higher minimum wage as well as pay increases in certain areas of the public sector and at state-owned utility companies. Read more HERE.
V4 PMS PROTEST DOUBLE STANDARDS AT JUNCKER DINNER
Prime ministers of the Visegrad Group — Hungary, the Czech Republic, Poland and Slovakia — protested the application of double standards to member states in the East and in the West at a working dinner with European Commission President Jean-Claude Juncker in Brussels, government office chief János Lázár said.
FLIGHTS TO AMERICA BY LOW-COST AIRLINE WIZZAIR
There is a possibility that direct transatlantic flights will be launched from London-Luton Airport by WizzAir. Read more HERE.
WIZZ AIR APPLIES FOR UK LICENCE TO MAKE BUSINESS “BREXIT-READY”
Hungarian low-fare carrier Wizz Air said its subsidiary Wizz Air UK filed an application for an Air Operator’s Certificate and Operating Licence with the UK Civil Aviation Authority to prepare the company for the UK’s departure from the European Union. “The UK remains the single biggest travel market in Europe and we are currently the UK’s eighth largest operator and this move is also part of our broader strategy to ensure that our UK operations are Brexit-ready,” said CEO József Váradi.
SAUSAGE THEMED ADVENTURE PARK WILL BE BUILT IN BÉKÉSCSABA
The improvement of CsabaPark continues: Hotel Trófea and the 5 km woodland walk path will be reconstructed and a 3.5 km long running track will be built with EU support.
CSABACAST COMPLETES HUF 5.6 BN PRODUCTION BASE
Automotive industry supplier CSABAcast Könnyűfémöntöde inaugurated a 5.6 billion forint (EUR 18.2m) production base in the industrial park of Apc, in northern Hungary, doubling production capacity and creating 130 jobs. Construction of the 17,000sqm base was supported with a 940 million forint government grant.
HUNGARY CONSTRUCTION SECTOR COULD REQUIRE GUEST WORKERS FROM ASIA
Inviting Chinese, Vietnamese, Indonesian or Pakistani guest workers to ease the labour shortage in Hungary’s construction industry could become a “realistic option” within just 3-5 years, the head of Market, a big Hungarian construction company, said in an interview published in business daily Világgazdaság. Earlier, it was thought guest workers from Ukraine could fill the gap, but they are working in Western Europe now, Sándor Scheer told the paper. He blamed low wages for the shortage of 20,000-30,000 workers, noting that SMEs are paying 90 percent of their labourers minimum wage and are not making capital expenditures.
HUNGARY RAISED 1.7 billion euros IN PROCEEDS FROM “RESIDENCY BOND” SALES
The state of Hungary raised 517 billion forints, or 1.7 billion euros, in a “residency bond” scheme that ran from the summer of 2013 until March of this year, economy ministry state secretary András Tállai said in a written response to an opposition MP. Bonds with a nominal value of 575 billion forints or 1.8 billion euros were sold under the programme. Under the scheme,
foreign nationals who bought securities from a licensed agent backed by the residency bonds could apply in an accelerated procedure for permanent residency in Hungary.
A lawmaker of the opposition Jobbik party has urged the governing parties to submit on their behalf an amendment proposal to the Constitution that the opposition party had repeatedly submitted, in vain.
Speaking at a press conference in Budapest on Sunday, Gábor Staudt said that
Jobbik made it clear already at the beginning of the migrant wave that they would not accept any refugee settlement quota and would support the government in its efforts to defend Hungary, even by backing legislation requiring two-thirds majority.
If Prime Minister Viktor Orbán really wants national unity, why did the ruling Fidesz and Christian Democrat parties reject Jobbik’s constitutional amendment proposal, which only differed in a single sentence from that of the governing parties: it ruled out the possibility of reintroducing residency bonds, he said.
Staudt said that if the governing parties submitted its proposal as their own, Jobbik would not treat this as a matter of prestige and would fully support it in a parliamentary vote.
He said that by selling residency bonds,
the governing alliance had already enabled 20,000 “well-to-do migrants” to settle in the country.
Jobbik would insert a clause in the Constitution which stipulates that residency rights cannot be sold for money in any form whatsoever, Staudt said.
Parliament‘s national security committee held a special session behind closed doors on Thursday, following a no-show of the ruling parties at a meeting on Monday.
The Thursday session had several subjects on its agenda, including security of high-profile events, residency bonds, as well as cyber protection of the country’s election system.
Szilárd Németh, deputy head of the committee (ruling Fidesz), told a press conference after the meeting that the last subject, which had not been included in the agenda for Monday, was a “crucial issue”, on which a debate was “justified”. He insisted that the Monday session would have “served the interests of (US billionaire) George Soros” and its agenda had been based on “rumours” and “malevolent lies by the opposition”.
Concerning recent, international events held in Hungary, Németh said that in light of the level of security ensured “Hungary showed the image of a most secure country”. He argued that none of the earlier organisers of a world aquatics championships had scored as high as Hungary in terms of security at the events.
On the subject of reports that Russian and Azeri interconnectivity providers may have collected user data at the recent World Aquatics, Nemeth insisted that the company in question had met all security criteria, but in the end was not contracted. On the same subject, however, Socialist head of the committee Zsolt Molnár and Bernadett Szel of the green opposition LMP party said that the data “could have gotten in the wrong hands” and insisted that there were loopholes in the regulations.