Region in Numbers

Central Region in numbers

• Hungarian Parliament established seven regions in Hungary by the acceptance of National Regional Development Concept on the 10th of March, 1998.
• Central Region is the smallest amongst the Hungarian regions, its territory is 6.919 km2
• Central Region consists of Budapest and Pest County.
• The Region has four neighbouring regions and border with Slovakia to the north.
• Central Region's density of population is the highest in Hungary, 28% of the population lived there in 2007 – approximately 2.897 million people.

Economic situation

The situation of the region is determined by its central position and by the dominance of the Capital and its agglomeration.

Some basic data:

• High percentage (45%) of contribution to the Hungarian GDP.
• It concentrates 40% of all active economic organisations in the country.
• The importance of financial services and real estate development are constantly growing, enhancing the dominance of service sector within economic structure of the region.
• The region is one of Central Europe's focal points in terms of attraction of FDI.

Diagrams:

• Gross Domestic Product per Capita (GDP) 2005
• Number of active economic corporations
• Number of enterprises with Foreign Direct Investment
• Volume of investments of economic corporations

Gross Domestic Product

As mentioned before central region plays significant role in the Hungarian economy. Due to the data of Central Statistical Office 45 % of GDP is produced in the region. There are considerable differences inside the region: while in Budapest the GDP produced is double of national, and 89% of EU GDP, in County Pest this index is 78% and 37%.

Employment

• Number of the unemployed has been decreasing for years, while unemployment rate is less than the country's average – 4.7% (2007).
• Slow decrease in number of employed persons, last year it increased.
• There has been a shift in distribution of persons employed by sectors of economy in the last decade from production sector to service sector.

Diagram:

• Unemployment rate

Enterprises in Central Hungary Region

In accordance with latest data 34% of enterprises run in our region.

Education

• Central Region – especially the Capital – plays significant role in education: more than one fourth of all students attending secondary schools learn in institutions of Central Region, while 44% of high level education students pursue their studies here.
• In case of education of economists, doctors, technical experts and artists the region has the largest capacity in Hungary.

Diagram:

• Distribution of active population by highest level of education

Academic Research and experimental development

• Central Region plays considerable role, since 62.6% of scientific researchers and developers works here.
• Two third of budget devoted to R&D has been invested in the Central Region.
• Most headquarters of research centres are located in Budapest, though in case of agrarian sciences it is located in Gödöllő.

Transport

• Due to centralised radial structure of Hungarian transport network Central Hungary Region has a unique position in case of public road and railway systems.
• All motorways and main rail lines of European importance cross the region.
• Ferihegy Hungary's only international airport is also located here.
• River Danube has great potentials (TEN corridor X.).

Industry, agriculture

• The region has a versatile industrial background.
• Budapest concentrates branches of production with high added value, like electronics, pharmaceuticals, chemicals, confection, food, and printing industry.
• Pest County is more related to traditional types of industry as oil refinement, production of electronic machines and tools, food procession and textile industry.
• Land use structure of the region's agriculture is a bit different from that of other Hungarian regions, due to higher percentage of gardens and orchards.

Diagram:

• Change of Industrial Output

Tourism

• 2 million visitors yearly,
• Capacity of tourism has been increased in the last few years, one sixth of bed-places in public accommodation is to be found here, mostly in Budapest.

Summary

Though aggregated indices of Budapest and Pest County are really impressive, it must be seen that there are great differences between the two areas.

Co-operation of regional development actors and co-ordination of their development efforts can only solve problems of differential development.

In this process international co-operation could play significant role, by getting acquainted with similar problems and if possible find a joint method to solve them.

All diagrams:

• Position of Central Hungary Region within Hungary
• Unemployment rate
• Distribution of active population by highest level of education
• Gross Domestic Product per Capita (GDP) 2005
• Number of active economic corporations
• Number of enterprises with Foreign Direct Investment
• Volume of investments of economic corporations
• Change of Industrial Output

Source: Hungarian Central Statistical Office (2007)