Hungary attracted more foreign direct investment from the EU-15 than any new member state in 2004-2006, a recently published Eurostat report reveals.
Old member states invested a combined €27.3 billion in Hungary between 2004, when it joined the EU, and 2006. Hungary received more than 29% of the FDI outflows from the EU-15 to new members in the period. Malta came in second place with FDI of €16.1 billion from the EU-15 in the period, though Eurostat noted that this was mainly the result of large 2006 investment related to the activity of Special Purpose Entities. Poland was in third place with EU-15 FDI of €13.1 billion.
Germany was the biggest investor in new member states in 2004-2006, accounting for 27% of the total from the EU-15. It was followed by Spain, with 13%, and Austria, with 10%. Eurostat noted that Hungary received as much as 42% of the Spanish outflows to the new members in the period.
In terms of stock of investments from the EU-15 -- adjusted for price change, outward stocks and exchange rates -- Hungary was in second place among new member state with a total of €64.6 billion FDI invested by EU-15 countries by the end of 2006, following Poland (€68.6 billion), but beating the Czech Republic, which was in third place with a stock of €52.4 billion. At the end of 2006 68% of all EU-15 invested stocks were in these three countries. (MTI-Econews)