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Jun 18, 2018

Foreign minister highlights how the Eastern Opening policy is bringing new investors to Hungary

Péter Szijjártó, minister of Foreign Affairs and Trade, said the Eastern Opening policy is not only facilitating the increased foreign market presence of Hungarian products and services but also the Hungarian investments of well-capitalised Asian companies

The foreign minister has highlighted how the Eastern Opening policy is bringing new investors to Hungary.

Péter Szijjártó, minister of Foreign Affairs and Trade, said the Eastern Opening policy is not only facilitating the increased foreign market presence of Hungarian products and services but also the Hungarian investments of well-capitalised Asian companies.

The minister highlighted that the ongoing changes to the global economy and global trade are increasing the importance of the Eastern Opening policy, because a high proportion of the innovations that are determining the digital revolution come from the East.

“Accordingly, these days capital is no longer only flowing from West to East, but well-capitalized Asian enterprises are increasingly often acquiring western companies and their market share,” he said.

Minister Szijjártó highlighted the importance of Hungary’s attractive investment environment in winning investment projects from the East, adding that it was also thanks to this that Hungary was able to win the race for SRF’s investment amid stiff international competition.

“Amongst others, the flexible labor market, low tax burdens, dual training programs and the successes of the Indian companies already operating in Hungary such as Apollo Tyres and the Tata Group, also contribute to this success,” he added.

In light of this, he said the SRF Group will be constructing its first facility in Europe, which will employ 100 people and cost 18 billion HUF (56 million EUR), in the town of Jászfényszaru, which is also home to plants owned by Samsung and ThyssenKrupp.

“The government is facilitating the establishment of the new plant with 1.13 billion HUF (3.5 million EUR) in non-returnable funding, and is currently also in negotiations concerning four other Indian investments,” the minister said.