Three Industries Supporting Hungary’s Economy

2023 was not a kind year for the Hungarian economy, with the first half of the year especially disappointing as the country remained in recession. The economy recovered somewhat at the end of the year, while the outlook for the coming few years is slightly more positive. As a member of the EU since 2004, Hungary has developed rapidly and is continuing to do so. In this article, we are going to take a look at industries that are contributing to the growth of the domestic economy.

🇭🇺 Hungary supports the acceleration of permit-granting process of renewable energy –underlined Attila Steiner at yesterday’s #TTE Energy Council. The StateSec for Energy&Climate Policy also participated at the meeting of pro-nuclear EU countries&held bilateral talks w/ Slovakia. pic.twitter.com/rwuPMsB2Wf

— Hungary in the EU (@HungaryintheEU) December 20, 2023

Online Gaming

Budapest has two types of locations to gamble, one being a casino and the other a gaming room. However, a third is now emerging: the online gaming market, which, according to Statista, is growing. In the coming years, it is expected to experience compound growth of 7% and already has a valuation of $500 million. Online gaming includes a range of products, such as traditional casino games like poker and blackjack. Slots are also growing in popularity, with casinos offering a growing range of themed games, such as fluffy favourites. Games like these allow gamers to play themed online slot games with several different lines and outcomes. If the domestic gambling industry in Hungary grows at the expected rate, it will become a bigger player in the country’s economy.

IT

According to Bloomberg, the country ranks 27th among the most innovative countries, with its technology industry focusing on green initiatives. While revenue in Hungary’s IT industry is expected to reach $1.75 billion next year, according to the website Statista, In recent years, a change of thinking in the country’s politics has helped spark this growth. For example, Hungary’s universities have focused on developing the workforce to participate in the IT industry. Because of this, the industry is now thriving, especially in Budapest, and it has even attracted some of the largest players in the industry to the country, such as Microsoft and IBM.

Healthcare

The healthcare industry has been growing in Hungary for several years. Although the beginning of the 2020s saw a slowdown in the industry, it has since recovered. In 2022, sales of pharmaceuticals in the country increased by 5%, and there are now over 30,000 people employed in the industry, with $3 billion worth of production each year. The country’s government is also pushing to make the country more self-sufficient regarding both medical equipment and medicine. This means that in the coming years, there will be more investment expected in areas such as research and development.

As a member of the European Union, Hungary has a strategic advantage relative to some of its neighbours. It boasts one of the fastest-growing economies in Europe as well as a workforce that is becoming increasingly skilled. In the last number of years, EU and government investment has been used to improve a range of industries. The next EU investment cycle running until 2027 will see the country receive $60 billion, which will surely see even more development in the coming years.