Friday , April 23 2021

There must be a series of reforms for a successful EU recovery

If we achieve steady growth of four percent, then a realistic goal is to reach the countries of Western Europe.

– said Balázs Rákossy, Secretary of State of the Ministry of Finance in Corporate Governance in Felsöfok at the 2018 conference. We have achieved full employment these days but now the training of the existing workforce needs to be solved to produce the greatest value. The almost 12 billion EU funds play an important role in growth, accounting for about five percent of annual growth.

According to the EU Secretary of State, European imprisonment is the biggest threat to Hungarian growth, as well as the trade war and Brexit mentioned as a risk.

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There is no unified recipe on how to reach developed countries, but in general, getting closer to the Austrian level of development is a good goal, "said Dániel Palotai, chief economist at the National Bank of Hungary (MNB). Many reforms need to be implemented, especially the resources of the SME sector should be mobilized. One important factor is the doubling of wages, as if the earnings did not grow enough, the Hungarian labor force finds an adequate wage in another Daniel Palotai added:

not compete with the cheap labor force of the Eastern countries.

There are two worlds in Hungary at the same time: innovative and competitive large companies and SMEs – said Ádám Szigeti, Assistant Secretary of State of the Ministry of Innovation and Technology. This difference can be overcome by systems of corporate governance, innovation, production of its own products and by the development of universities supported by companies. Research and development expenses are typical of large corporations, with little effort being spent on innovation by the private sector in the state, small businesses are still innovating.

Range of development

Hungary should be among the five most competitive countries in the region by 2030, where it is better to live, live and work – said Prime Minister Viktor Orbán at the Hungarian Diaspora Council. Chancellor Gergely Gulyás said: Hungary is the third quarter of the EU. 3. The fastest growing economy with 5% growth appears to be sustainable with a 4% increase.

All the article is published in the Friday edition of Világgazdaság

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