Bilateral Profiles and National Agencies > Hungary

General information on Hungarian development cooperation

In 2001, the Hungarian government approved its concept paper guiding Hungarian Development Cooperation. Resolution 1/2008 of the International Development Cooperation Governmental Committee, approved by the government in spring 2008, acknowledges the fact that international development cooperation is one of the important activities in Hungary’s External Relations Strategy. It determines the principles, goals and means of Hungary’s international activity.

At the end of 2011, several Members of Parliament submitted a new Resolution proposal to the Parliament in order to initiate a new International Development Cooperation Strategy. The Resolution has not yet been adopted.

For more information: www.ec.europa.eu/europeaid/

Hungary’s international development policy focuses on least-developed countries (LDCs). Far-eastern countries are also included, given their pre-existing bilateral relations with Hungary and experiences accumulated in the course of cooperation over the past few decades.

Main partner, priority and recipient countries of Hungarian international development cooperation include:

  • Cooperation based on a medium-term development strategy: Bosnia-Herzegovina, Moldova, Palestinian Authority, Serbia, Vietnam;
  • Project-based partner countries: Africa (Sub-Saharan), Cambodia, Kyrgyzstan, Kosovo, Laos, Macedonia, Mongolia, Montenegro, Ukraine, Yemen;
  • Cooperation based on international commitments: Afghanistan, Iraq;
  • Eligible for tied aid credit: according to Development Assistance Committee (DAC) of the Organisation for Economic Co-operation and Development (OECD) categorization.

For more information: http://www.euroresources.org/guide/donor_profiles/hu_hungary.html

Hungary’s development assistance programmes are financed mainly from the central state budget. A total of 12 per cent of Hungarian international development cooperation activities are bilateral official development assistance (ODA) programmes. The remaining part is allocated through multilateral channels. The Ministry of Foreign Affairs administers approximately 6 per cent of Hungary’s total contribution to international development, with other line ministries providing the other 6 per cent.

The main objectives of Hungarian international development policy are:

  • To preserve and support international peace and security, and to create and sustain regional, political and economic stability;
  • To reduce poverty and contribute to sustainable economic and social development;
  • To protect human rights and equal opportunities, to strengthen democracy and civil society structures and to support local community autonomies;
  • To support efforts aimed at creating economic and social development (basic necessities, health care, primary education);
  • To promote good governance; and
  • To protect and improve environmental resources.

The geofocus and recipient of other bilateral and multilateral projects may change according to the actual needs of partners, the type of relationship and the Hungarian capacities available.

For more information: http://www.era-ard.org/country-profiles/hungary/

Further steps were taken in 2011 to enhance the coherence of the international monetary, financial and trading systems in support of development through in the capital increase of international financial institutions (World Bank, EBRD, CEB).
For more information: www.ec.europa.eu/europeaid/

ODA individual commitments/gap to agreed targets (total ODA, Africa, LDCs)

  • Hungary’s ODA level has been stagnant for several years, but saw an increase in 2011 to €101 million, representing 0.11 per cent of its gross national income (GNI) .
  • To reach its individual ODA target of 0.33 per cent of GNI by 2015, Hungary would need to increase its aid by €242 million.
  • “Realistic, verifiable actions for meeting individual ODA commitments until 2015” taken in 2011: an increase in the development budget. Hungary’s ODA volume increased by 20 per cent in 2011 (mainly because of increased multilateral contributions). However, given budgetary constraints, a steady increase of the ODA volume in the coming years is not anticipated at the moment.
  • Measures taken or planned to contribute to the EU27 target to channel at least 50 per cent of an EU collective ODA increase to Africa: Hungary’s ODA increase in 2011 owed largely to multilateral contributions such as to the European Development Fund and the Global Environment Facility Least Developed Countries Fund, both of which finance development programmes mainly in Sub-Saharan Africa.
  • Hungary declares that it is not able to reach the target of 0.15-0.20 per cent ODA/GNI to LDCs by 2010 (and onwards).

For more information: www.ec.europa.eu/europeaid/

Improved effectiveness of support to developing countries

  • Mutual accountability arrangements account for less than 10 per cent of Hungary’s priority countries.
  • Focus on results: Hungary participates in country-level results frameworks and platforms in less than 10 per cent of its priority countries.
  • Specific actions in 2011 to improve transparency of aid flows:
    • Annual reporting, regular consultations with the Non-governmental Development Organization Association (Hungarian Association of NGOs for Development and Humanitarian Aid), annual meetings of the Civil Advisory Board, tenders published on government and non-governmental organization websites;
    • Further development of existing tools.

For more information: www.ec.europa.eu/europeaid/

Principal official agency responsible for TCB assistance to developing countries

Contact:

Development Cooperation Governmental Committee

Ministry of Foreign Affairs

1027 Budapest, Bem rkp. 47

Tel.: +36 1 458 1000

Fax: +36 1 212 5918

Website: http://mfa.gove.hu/

Development Cooperation Governmental Committee

The main decision-making body related to development cooperation policy and strategy is the Development Cooperation Governmental Committee, which is an inter-ministerial forum chaired by the Minister for Foreign Affairs. The work of the Committee is supported by an inter-ministerial Working Group of Experts. The Ministry of Foreign Affairs is also responsible for coordinating the work of the Inter-ministerial Working Group for the Coordination of Humanitarian Aid. This expert-level Working Group coordinates humanitarian aid issues between relevant line ministries and the National Directorate for Disaster Management and is chaired by the State-secretary of the Ministry of Foreign Affairs.

For more information: www.ec.europa.eu/europeaid/

Other government and official agencies with responsibilities directly relevant to TCB

Contact:

Ministry of Foreign Affairs

1027 Budapest, Bem rkp. 47

Tel.: +36 1 458 1000

Fax: +36 1 212 5918

Website: http://www.mfa.gov.hu/

Ministry of Foreign Affairs

The Ministry of Foreign Affairs of the Republic of Hungary is responsible for planning and coordinating Hungarian international development cooperation and humanitarian aid activities via the International Development Cooperation Department. In 2008, a Tendering Unit was set up to deal with the management of all legal and financial issues related to project implementation.

HUN-IDA, a not-for-profit company contracted by the Ministry of Foreign Affairs, is the implementing agency of Hungarian development cooperation activities. It is responsible mainly for organizing and implementing technical assistance programmes with partner countries and for preparing and monitoring calls for tender, providing advice and taking part in capacity building activities.

For more information: www.ec.europa.eu/europeaid/