A nearly HUF 3 billion (EUR 8 million) automotive supplier development program is being launched to increase the share of domestic suppliers, reports Magyar Nemzet. The pilot initiative will start as early as this year.
Thanks to targeted and effective government measures, inflation already fell to single digits in October and the recovery of economic growth started in the third quarter of 2023. This provides a good basis for the GDP to return to dynamic growth of four percent or more in 2024, the Ministry of Economic Development said in a statement on the government’s goal of reaching 90 percent of EU GDP growth by 2030.
To strengthen the Hungarian economy, the Ministry of Economic Development has developed a ten-point proposal.
To achieve this goal, the government, in cooperation with the Hungarian Chamber of Commerce and Industry and with the participation of IFKA Public Nonprofit Ltd., is launching a HUF 2.9 billion (EUR 7.7 million) Automotive Supplier Development Program.
A pilot program will start this year and the full funding will be available in 2024, taking into account the experience gained.
Photo via Facebook/Audi Hungária Győr
Secretary of State for Industrial Policy and Technology Gergely Fábián stressed that the overall aim of the initiative is to increase the share of Hungarian suppliers in both the automotive and battery industries. As part of the plan,
large companies operating in Hungary, as customers, will set up a joint development plan with their existing or potential supplier, based on which the supplier can participate in the production with a higher added value product or a new product.
Máté Lóga, State Secretary for Economic Development and National Financial Services, noted that the program is open to domestic companies with more than 250 employees, which are typically closer to becoming suppliers due to their size. Details of the project will be available soon on the IFKA website.
IFKA Public Benefit Nonprofit Ltd. has been a part of the country’s economic, development, research, and innovation community since 1990. The organization was founded by the Ministry of Industry and Trade and the Bank for Industrial Development.
The activities of IFKA are in line with domestic and EU objectives. The main processes involved in the activities can be divided into three categories: management, key, and support processes. The company has the capacity to attract significant resources to its public benefit purposes and successfully measures up to the rather competitive domestic and European Union professional environment with its projects.
Via Magyar Nemzet, Featured image via Facebook/Audi Hungária Győr