Hungary

§1. Hungary Introduction

Background:
  Hungary was part of the polyglot Austro-Hungarian Empire, which collapsed
  during World War I. The country fell under Communist rule following World
  War II. In 1956, a revolt and announced withdrawal from the Warsaw Pact
  were met with a massive military intervention by Moscow. Under the
  leadership of Janos KADAR in 1968, Hungary began liberalizing its economy,
  introducing so-called "Goulash Communism." Hungary held its first
  multiparty elections in 1990 and initiated a free market economy. It joined
  NATO in 1999 and the EU in 2004.

§2. Hungary Geography

Location:
  Central Europe, northwest of Romania

Geographic coordinates:
  47 00 N, 20 00 E

Map references:
  Europe

Area:
  total: 93,030 km²
  land: 92,340 km²
  water: 690 km²

Area - comparative:
  slightly smaller than Indiana

Land boundaries:
  total: 2,171 km
  border countries: Austria 366 km, Croatia 329 km, Romania 443 km, Serbia
    and Montenegro 151 km, Slovakia 677 km, Slovenia 102 km, Ukraine 103 km

Coastline:
  0 km (landlocked)

Maritime claims:
  none (landlocked)

Climate:
  temperate; cold, cloudy, humid winters; warm summers

Terrain:
  mostly flat to rolling plains; hills and low mountains on the Slovakian
  border

Elevation extremes:
  lowest point: Tisza River 78 m
  highest point: Kekes 1,014 m

Natural resources:
  bauxite, coal, natural gas, fertile soils, arable land

Land use:
  arable land: 49.58%
  permanent crops: 2.06%
  other: 48.36% (2005)

Irrigated land:
  2,100 km² (1998 est.)

Environment - current issues:
  the upgrading of Hungary's standards in waste management, energy
  efficiency, and air, soil, and water pollution to meet EU requirements will
  require large investments

Environment - international agreements:
  party to: Air Pollution, Air Pollution-Nitrogen Oxides, Air
    Pollution-Persistent Organic Pollutants, Air Pollution- Sulfur 85, Air
    Pollution-Volatile Organic Compounds, Antarctic Treaty, Biodiversity,
    Climate Change, Climate Change- Kyoto Protocol, Desertification,
    Endangered Species, Environmental Modification, Hazardous Wastes, Law of
    the Sea, Marine Dumping, Ozone Layer Protection, Ship Pollution, Wetlands
  signed, but not ratified: Air Pollution-Sulfur 94

Geography - note:
  landlocked; strategic location astride main land routes between Western
  Europe and Balkan Peninsula as well as between Ukraine and Mediterranean
  basin; the north-south flowing Duna (Danube) and Tisza Rivers divide the
  country into three large regions

§3. Hungary People

Population:
  9,981,334 (July 2006 est.)

Age structure:
  0-14 years: 15.6% (male 799,163/female 755,389)
  15-64 years: 69.2% (male 3,403,375/female 3,505,640)
  65 years and over: 15.2% (male 550,297/female 967,470) (2006 est.)

Median age:
  total: 38.7 years
  male: 36.3 years
  female: 41.4 years (2006 est.)

Population growth rate:
  -0.25% (2006 est.)

Birth rate:
  9.72 births/1,000 population (2006 est.)

Death rate:
  13.11 deaths/1,000 population (2006 est.)

Net migration rate:
  0.86 migrant(s)/1,000 population (2006 est.)

Sex ratio:
  at birth: 1.06 male(s)/female
  under 15 years: 1.06 male(s)/female
  15-64 years: 0.97 male(s)/female
  65 years and over: 0.57 male(s)/female
  total population: 0.91 male(s)/female (2006 est.)

Infant mortality rate:
  total: 8.39 deaths/1,000 live births
  male: 9.09 deaths/1,000 live births
  female: 7.64 deaths/1,000 live births (2006 est.)

Life expectancy at birth:
  total population: 72.66 years
  male: 68.45 years
  female: 77.14 years (2006 est.)

Total fertility rate:
  1.32 children born/woman (2006 est.)

HIV/AIDS - adult prevalence rate:
  0.1% (2001 est.)

HIV/AIDS - people living with HIV/AIDS:
  2,800 (2001 est.)

HIV/AIDS - deaths:
  less than 100 (2001 est.)

Nationality:
  noun: Hungarian(s)
  adjective: Hungarian

Ethnic groups:
  Hungarian 92.3%, Roma 1.9%, other or unknown 5.8% (2001 census)

Religions:
  Roman Catholic 51.9%, Calvinist 15.9%, Lutheran 3%, Greek Catholic 2.6%,
  other Christian 1%, other or unspecified 11.1%, unaffiliated 14.5% (2001
  census)

Languages:
  Hungarian 93.6%, other or unspecified 6.4% (2001 census)

Literacy:
  definition: age 15 and over can read and write
  total population: 99.4%
  male: 99.5%
  female: 99.3% (2003 est.)

§4. Hungary Government

Country name:
  conventional long form: Republic of Hungary
  conventional short form: Hungary
  local long form: Magyar Koztarsasag
  local short form: Magyarorszag

Government type:
  parliamentary democracy

Capital:
  Budapest

Administrative divisions:
  19 counties (megyek, singular - megye), 20 urban counties (singular -
  megyei varos), and 1 capital city (fovaros)
  : counties: Bacs-Kiskun, Baranya, Bekes, Borsod-Abauj-Zemplen, Csongrad,
    Fejer, Gyor-Moson-Sopron, Hajdu-Bihar, Heves, Jasz-Nagykun-Szolnok,
    Komarom-Esztergom, Nograd, Pest, Somogy, Szabolcs-Szatmar-Bereg, Tolna,
    Vas, Veszprem, Zala
  : urban counties: Bekescsaba, Debrecen, Dunaujvaros, Eger, Gyor,
    Hodmezovasarhely, Kaposvar, Kecskemet, Miskolc, Nagykanizsa, Nyiregyhaza,
    Pecs, Sopron, Szeged, Szekesfehervar, Szolnok, Szombathely, Tatabanya,
    Veszprem, Zalaegerszeg
  : capital city: Budapest

Independence:
  1001 (unification by King Stephen I)

National holiday:
  Saint Stephen's Day, 20 August

Constitution:
  18 August 1949, effective 20 August 1949; revised 19 April 1972; 18 October
  1989 revision ensured legal rights for individuals and constitutional
  checks on the authority of the prime minister and also established the
  principle of parliamentary oversight; 1997 amendment streamlined the
  judicial system

Legal system:
  rule of law based on Western model; accepts compulsory ICJ jurisdiction,
  with reservations

Suffrage:
  18 years of age; universal

Executive branch:
  chief of state: Laszlo SOLYOM (since 5 August 2005)
  head of government: Prime Minister Ferenc GYURCSANY (since 29 September
    2004)
  cabinet: Council of Ministers elected by the National Assembly on the
    recommendation of the president
  elections: president elected by the National Assembly for a five-year term;
    election last held 6-7 June 2005 (next to be held by June 2010); prime
    minister elected by the National Assembly on the recommendation of the
    president; election last held 29 September 2004
  election results: Laszlo SOLYOM elected president by a simple majority in
    the third round of voting, 185 to 182; Ferenc GYURCSANY elected prime
    minister; result of legislative vote - 197 to 12
  note: to be elected, the president must win two-thirds of legislative vote
    in the first two rounds or a simple majority in the third round

Legislative branch:
  unicameral National Assembly or Orszaggyules (386 seats; members are
  elected by popular vote under a system of proportional and direct
  representation to serve four-year terms)
  elections: last held 7 and 21 April 2002 (next to be held 9 and 23 April
    2006)
  election results: percent of vote by party (5% or more of the vote required
    for parliamentary representation in the first round) - Fidesz/MDF 48.70%,
    MSzP 46.11%, SzDSz 4.92%, other 0.27%; seats by party - Fidesz 164, MSzP
    178, MDF 24, SzDSz 20

Judicial branch:
  Constitutional Court (judges are elected by the National Assembly for
  nine-year terms)

Political parties and leaders:
  Alliance of Free Democrats or SzDSz [Gabor KUNCZE]; Hungarian Civic
  Alliance or Fidesz [Viktor ORBAN, chairman]; Hungarian Democratic Forum or
  MDF [Ibolya DAVID]; Hungarian Socialist Party or MSzP [Istvan HILLER,
  chairman]

Political pressure groups and leaders:
  NA

International organization participation:
  ACCT (observer), Australia Group, BIS, CE, CEI, CERN, EAPC, EBRD, EIB, ESA
  (cooperating state), EU (new member), FAO, G- 9, IAEA, IBRD, ICAO, ICC,
  ICCt, ICFTU, ICRM, IDA, IEA, IFC, IFRCS, ILO, IMF, IMO, Interpol, IOC, IOM,
  IPU, ISO, ITU, MIGA, MINURSO, NAM (guest), NATO, NEA, NSG, OAS (observer),
  OECD, OIF (observer), OPCW, OSCE, PCA, SECI, UN, UNCTAD, UNESCO, UNFICYP,
  UNHCR, UNIDO, UNOMIG, UPU, WCL, WCO, WEU (associate), WFTU, WHO, WIPO, WMO,
  WToO, WTO, ZC

Diplomatic representation in the US:
  chief of mission: Ambassador Andras SIMONYI
  chancery: 3910 Shoemaker Street NW, Washington, DC 20008
  telephone: [1] (202) 362-6730
  FAX: [1] (202) 966-8135
  consulate(s) general: Los Angeles, New York

Diplomatic representation from the US:
  chief of mission: Ambassador George Herbert WALKER
  embassy: Szabadsag ter 12, H-1054 Budapest
  mailing address: pouch: American Embassy Budapest, 5270 Budapest Place,
    Department of State, Washington, DC 20521-5270
  telephone: [36] (1) 475-4400
  FAX: [36] (1) 475-4764

Flag description:
  three equal horizontal bands of red (top), white, and green

§5. Hungary Economy

Economy - overview:
  Hungary has made the transition from a centrally planned to a market
  economy, with a per capita income one-half that of the Big Four European
  nations. Hungary continues to demonstrate strong economic growth and
  acceded to the EU in May 2004. The private sector accounts for over 80% of
  GDP. Foreign ownership of and investment in Hungarian firms are widespread,
  with cumulative foreign direct investment totaling more than $60 billion
  since 1989. Hungarian sovereign debt was upgraded in 2000 and together with
  the Czech Republic holds the highest rating among the Central European
  transition economies; however, ratings agencies have expressed concerns
  over Hungary's unsustainable budget and current account deficits. Inflation
  has declined from 14% in 1998 to 3.7% in 2005. Unemployment has persisted
  around the 6% level, but Hungary's labor force participation rate of 57% is
  one of the lowest in the Organization for Economic Cooperation and
  Development (OECD). Germany is by far Hungary's largest economic partner.
  Policy challenges include cutting the public sector deficit to 3% of GDP by
  2008, from about 6.5% in 2005, and orchestrating an orderly interest rate
  reduction without sparking capital outflows.

GDP (purchasing power parity):
  $161 billion (2005 est.)

GDP (official exchange rate):
  $104.5 billion (2005 est.)

GDP - real growth rate:
  3.9% (2005 est.)

GDP - per capita (PPP):
  $16,100 (2005 est.)

GDP - composition by sector:
  agriculture: 3.9%
  industry: 30.9%
  services: 65.3% (2005 est.)

Labor force:
  4.18 million (2005 est.)

Labor force - by occupation:
  agriculture 6.2%, industry 27.1%, services 66.7% (2002)

Unemployment rate:
  7.1% (2005 est.)

Population below poverty line:
  8.6% (1993 est.)

Household income or consumption by percentage share:
  lowest 10%: 4.1%
  highest 10%: 20.5% (1998)

Distribution of family income - Gini index:
  24.4 (1999)

Inflation rate (consumer prices):
  3.7% (2005 est.)

Investment (gross fixed):
  23.1% of GDP (2005 est.)

Budget:
  revenues: $51.4 billion
  expenditures: $58.34 billion; including capital expenditures of $NA (2005
    est.)

Public debt:
  60.9% of GDP (2005 est.)

Agriculture - products:
  wheat, corn, sunflower seed, potatoes, sugar beets; pigs, cattle, poultry,
  dairy products

Industries:
  mining, metallurgy, construction materials, processed foods, textiles,
  chemicals (especially pharmaceuticals), motor vehicles

Industrial production growth rate:
  7.5% (2005 est.)

Electricity - production:
  32.21 billion kWh (2003)

Electricity - consumption:
  36.96 billion kWh (2003)

Electricity - exports:
  7.1 billion kWh (2003)

Electricity - imports:
  14.1 billion kWh (2003)

Oil - production:
  43,920 bbl/day (2003 est.)

Oil - consumption:
  134,100 bbl/day (2003 est.)

Oil - exports:
  47,180 bbl/day (2001)

Oil - imports:
  136,600 bbl/day (2001)

Oil - proved reserves:
  110.7 million bbl (1 January 2002)

Natural gas - production:
  2.94 billion m³ (2003 est.)

Natural gas - consumption:
  14.58 billion m³ (2003 est.)

Natural gas - exports:
  4 million m³ (2001 est.)

Natural gas - imports:
  9.587 billion m³ (2001 est.)

Natural gas - proved reserves:
  34.26 billion m³ (1 January 2002)

Current account balance:
  $-8.667 billion (2005 est.)

Exports:
  $61.75 billion f.o.b. (2005 est.)

Exports - commodities:
  machinery and equipment 61.1%, other manufactures 28.7%, food products
  6.5%, raw materials 2%, fuels and electricity 1.6% (2003)

Exports - partners:
  Germany 31.4%, Austria 6.8%, France 5.7%, Italy 5.6%, UK 5.1% (2004)

Imports:
  $64.83 billion f.o.b. (2005 est.)

Imports - commodities:
  machinery and equipment 51.6%, other manufactures 35.7%, fuels and
  electricity 7.7%, food products 3.1%, raw materials 2.0% (2003)

Imports - partners:
  Germany 29.2%, Austria 8.3%, Russia 5.7%, Italy 5.5%, Netherlands 4.9%,
  China 4.8%, France 4.7% (2004)

Reserves of foreign exchange and gold:
  $18.49 billion (2005 est.)

Debt - external:
  $76.23 billion (30 June 2005 est.)

Economic aid - recipient:
  $4.2 billion in available EU structural adjustment and cohesion funds
  (2004-06)

Currency (code):
  forint (HUF)

Exchange rates:
  forints per US dollar - 199.58 (2005), 202.75 (2004), 224.31 (2003), 257.89
  (2002), 286.49 (2001)

Fiscal year:
  calendar year

§6. Hungary Communications

Telephones - main lines in use:
  3,577,300 (2004)

Telephones - mobile cellular:
  8,727,200 (2004)

Telephone system:
  general assessment: the telephone system has been modernized and is capable
    of satisfying all requests for telecommunication service
  domestic: the system is digitalized and highly automated; trunk services
    are carried by fiber-optic cable and digital microwave radio relay; a
    program for fiber-optic subscriber connections was initiated in 1996;
    heavy use is made of mobile cellular telephones
  international: country code - 36; Hungary has fiber-optic cable connections
    with all neighboring countries; the international switch is in Budapest;
    satellite earth stations - 2 Intelsat (Atlantic Ocean and Indian Ocean
    regions), 1 Inmarsat, 1 very small aperture terminal (VSAT) system of
    ground terminals

Radio broadcast stations:
  AM 17, FM 57, shortwave 3 (1998)

Television broadcast stations:
  35 (plus 161 low-power repeaters) (1995)

Internet country code:
  .hu

Internet hosts:
  261,294 (2005)

Internet users:
  3.05 million (2005)

§7. Hungary Transportation

Airports:
  44 (2005)

Airports - with paved runways:
  total: 19
  over 3,047 m: 2
  2,438 to 3,047 m: 8
  1,524 to 2,437 m: 4
  914 to 1,523 m: 4
  under 914 m: 1 (2005)

Airports - with unpaved runways:
  total: 25
  2,438 to 3,047 m: 2
  1,524 to 2,437 m: 3
  914 to 1,523 m: 11
  under 914 m: 9 (2005)

Heliports:
  5 (2005)

Pipelines:
  gas 4,397 km; oil 990 km; refined products 335 km (2004)

Railways:
  total: 7,937 km
  broad gauge: 36 km 1.524-m gauge
  standard gauge: 7,682 km 1.435-m gauge (2,628 km electrified)
  narrow gauge: 219 km 0.760-m gauge (2004)

Roadways:
  total: 159,568 km
  paved: 70,050 km (including 527 km of expressways)
  unpaved: 89,518 km (2002)

Waterways:
  1,622 km (most on Danube River) (2006)

Ports and terminals:
  Budapest, Dunaujvaros, Gyor-Gonyu, Csepel, Baja, Mohacs (2003)

§8. Hungary Military

Military branches:
  Ground Forces, Air Forces

Military service age and obligation:
  18 years of age for voluntary military service; conscription abolished in
  June 2004 (2004)

Manpower available for military service:
  males age 18-49: 2,303,116 (2005 est.)

Manpower fit for military service:
  males age 18-49: 1,780,513 (2005 est.)

Manpower reaching military service age annually:
  males: 63,847 (2005 est.)

Military expenditures - dollar figure:
  $1.08 billion (2002 est.)

Military expenditures - percent of GDP:
  1.75% (2002 est.)

§9. Hungary Transnational Issues

Disputes - international:
  in 2004, Hungary amended the status law extending special social and
  cultural benefits - and voted down a referendum to extend dual citizenship
  - to ethnic Hungarians living in neighboring states, which have objected to
  such measures; consultations continue between Slovakia and Hungary over
  Hungary's completion of its portion the Gabcikovo-Nagymaros hydroelectric
  dam project along the Danube; as a member state that forms part of the EU's
  external border, Hungary must implement the strict Schengen border rules

Illicit drugs:
  transshipment point for Southwest Asian heroin and cannabis and for South
  American cocaine destined for Western Europe; limited producer of precursor
  chemicals, particularly for amphetamine and methamphetamine; improving, but
  remains vulnerable to money laundering related to organized crime and drug
  trafficking


<Factbook 2006>
