EU approves 2022-2027 regional aid map for Hungary
The European Commission has approved, under European Union state aid rules, Hungary's map for granting regional aid from 1 January 2022 to 31 December 2027, the EC said last week according to a report by state news wire MTI.
Hungary's regional aid map defines the Hungarian regions eligible for regional investment aid based on being the most disadvantaged regions, and establishes the maximum aid intensities in the eligible regions, the EC said.
Under the revised Regional Aid Guidelines (RAG), regions covering 82.09% of the population of Hungary will be eligible for regional investment aid.
Such regions are all among the most disadvantaged in the EU, with a GDP per capita below 75% of EU average, it added.
The maximum aid intensities for large enterprises in the regions of Pest, southern Transdanubia, northern Hungary and the northern Great Plains is 50pc, and for the regions of central Transdanubia and western Transdanubia it is 30%.
"In these areas, the maximum aid intensities can be increased by 10 percentage points for investments made by medium-sized enterprises and by 20 percentage points for investments made by small enterprises, for their initial investments with eligible costs up to EUR 50 million," the statement added.
"The revised RAG, adopted by the Commission on April 19, 2021 and entering into force on January 1, 2022, enable member states to support the least favored European regions in catching up and to reduce disparities in terms of economic well-being, income, and unemployment – cohesion objectives that are at the heart of the Union," it said.
"They also provide increased possibilities for member states to support regions facing transition or structural challenges such as depopulation, to contribute fully to the green and digital transitions," the statement added.
SUPPORT THE BUDAPEST BUSINESS JOURNAL
Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.