Hungary

Quick Facts

🇭🇺
Capital:
Budapest
Official Language(s):
Hungarian
Currency:
Hungarian forint (Ft)
Population:
9,749,763

Overview

Hungary is a landlocked country in Central Europe. Spanning much of the Carpathian Basin, it is bordered by Slovakia to the north, Ukraine to the northeast, Romania to the east and southeast, Serbia to the south, Croatia and Slovenia to the southwest, and Austria to the west. Hungary lies within the drainage basin of the Danube River and is dominated by great lowland plains. It has a population of 9.6 million, consisting mostly of ethnic Hungarians and a significant Romani minority. Hungarian is the official language, and among the few in Europe outside the Indo-European family. Budapest is the country's capital and largest city, and the dominant cultural and economic centre.

Institutional Framework

The strength of a country's institutions directly impacts its economic development and stability. Strong institutions reduce uncertainty, protect property rights, and enable efficient markets through:
  • Rule of law and contract enforcement
  • Control of corruption
  • Government effectiveness and regulatory quality

* Indicators normalized to 0-100 scale

Economic Structure

The composition of an economy reveals its strengths, vulnerabilities, and potential for growth. Understanding the balance between sectors (agriculture, industry, services) and their sophistication helps assess economic resilience and development opportunities.

Economic Health & Trade

Economic Scale & Power

An economy with $182,109,999,477.691B(2021) GDP, showing strong growth at 7.1%(2021). Developing economy with moderate income levels.

GDP Growth
7.1%(2021)
GDP PPP
$371,787,650,322.353

Economic Structure

Economic structure shows 57.0%(2021) in services, 24.2%(2021) in industry, and 3.5%(2021) in agriculture. Balanced economic structure.

Economic Health & Trade

Economic health indicators show 4.0%(2021) unemployment and 5.1%(2021) inflation. Trade profile with 79.9%(2021) exports and 79.7%(2021) imports as % of GDP.

Unemployment
4.0%(2021)
Inflation
5.1%(2021)
Exports/GDP
79.9%(2021)
Imports/GDP
79.7%(2021)

Innovation & Competitiveness

Innovation capacity determines a country's ability to compete in the global knowledge economy. Key indicators like R&D investment, patent applications, and high-tech exports reveal the potential for sustainable economic growth and value creation.

High-Tech Exports

16.4

% of manufactured exports

ICT Exports

12.3

% of total goods exports

Digital Adoption

88.6

% of population using internet

Mobile Connectivity

106.9

Subscriptions per 100 people

Manufacturing Value

16.7

% of GDP

International Position

A country's integration into global markets affects its economic opportunities and risks. Trade relationships, financial flows, and geographic advantages or constraints shape its development trajectory and resilience to external shocks.

Financial & Trade Geography

Trade Profile

Trade represents 159.69%(2021) of GDP, with a trade balance of 0.19%(2021).

FDI Inflows
18.39%(2021)
FDI Outflows
16.21%(2021)

Financial Security

External Debt

N/A

Foreign Reserves

$43.48B(2021)(3.0 months of imports)

Supply Chain & Technology

Technology Trade

ICT Imports
13.03%(2021)
High-Tech Exports
16.40%(2021)

Economic Structure

Manufacturing
16.73%(2021)
Services
56.99%(2021)

Trade Agreements & Dependencies

Trade Agreements

No major trade agreements

Critical Dependencies

    Growth Trajectory

    Understanding growth patterns helps predict future economic performance and development challenges. Key factors include productivity trends, investment levels, and structural transformation progress, which together determine long-term prosperity potential.

    Growth Potential Indicators

    Human Capital

    Education and workforce development

    78.9/100

    Trade Position

    International trade and competitiveness

    58.1/100

    Economic Structure

    Sectoral balance and sophistication

    35.1/100

    Demographics & Human Capital

    Demographics are fundamental to understanding a country's economic potential and challenges. The population structure influences everything from labor force availability to social security systems and public spending priorities.

    Demographics

    Population Overview

    Total population of 9,709,891(2021) with -0.4%(2021) annual growth. Median age is N/A with fertility rate at 1.61 births/woman(2021).

    Life Expectancy
    74.163 years(2021)
    Birth Rate
    9.7 per 1,000(2021)

    Age Structure

    Working-age population (65.0%(2021)) with youth at 14.6%(2021) and elderly at 20.4%(2021). Total dependency ratio: 53.8%(2021).

    Young Dependency
    22.4%(2021)
    Old Dependency
    31.4%(2021)

    Gender & Migration

    Population is 52.1%(2021) female and 47.9%(2021) male, with sex ratio of 1.058 males/female(2021) at birth. Net migration: 20,372(2021).

    Male Mortality
    N/A
    Female Mortality
    N/A

    Development Indicators

    Urban population growing at 0.0%(2021) annually, with 27.8%(2021) in rural areas. Literacy rate: 99.1%(2021).

    Urbanization
    72.2%(2021)
    Infant Mortality
    3.3 per 1,000(2021)

    Population Structure

    The population pyramid visualizes the age and gender distribution, revealing crucial insights about economic sustainability. A balanced pyramid with a strong working-age population (typically ages 15-64) indicates greater economic potential, as this group supports both the younger and older generations through:
    • Labor force participation and productivity
    • Tax contributions to support social services
    • Innovation and economic growth

    An aging population (top-heavy pyramid) or youth bulge (bottom-heavy) can create demographic pressures on social systems and economic stability.

    Source: World Bank Development Indicators

    Security Context

    Security considerations fundamentally affect economic development and investment attractiveness. Both geographic factors and military capabilities influence a country's stability and its ability to protect economic interests and maintain sustainable growth.

    Geographic & Resource Security

    Food & Agriculture

    Arable land comprises 45.4%(2021) of territory, with 55.3%(2021) total agricultural land. Cereal yield: 5,920 kg/hectare(2021).

    Food Production Index
    92.11(2021)
    Cereal Production
    13,980,870 MT(2021)

    Energy Security

    Net energy imports at N/A of consumption. Renewable energy makes up 100.0%(2021) of total. Electricity access: N/A.

    Resource Rents
    N/A

    Water Resources

    Fresh water resources of 589 m³/capita(2021) per person. Annual precipitation: 22.48 mm(2021).

    Forest Area
    1.3%(2021)

    Environmental Vulnerability

    617.9%(2021) of population affected by climate disasters. Forest coverage at 1.3%(2021) providing natural buffer.

    Annual Rainfall
    22.48 mm(2021)

    Military & Security

    Military Capabilities

    Military expenditure at N/A of GDP. Armed forces personnel: 19,000,000(2021) ( N/A of labor force).

    Arms Exports
    5,676 USD(2021)
    Arms Imports
    N/A

    Strategic Status

    Military Alliances

    No major military alliances

    Nuclear Status

    Non-Nuclear State

    Security Environment

    Refugee population: 241,275(2021)Internally displaced: 237,396(2021)

    Strategic Geography

    Strategic Features

    • Landlocked country
    • Borders 7 countries