Big investment talk promises bigger investment actionThe days of Communist-era prefabricated hotels, poor quality “Zimmer frei” bed and breakfasts and dingy sausage stalls will become a thing of the past if the ambitious plans of a Hungarian company come to fruition.Â SCD Holding, a property development and management company, plans to turn Balaton into an attractive holiday destination.Â SCD will invest more than HUF 100 billion (EUR 395.01 million) in a total of 28 projects near the lake by 2014. The projects at 21 locations around “Hungarian Sea” would create some 20,000 new hotel beds, 600 to 800 modern bungalows, 2,200 to 2,600 camp site spaces and 260 to 300 new landing stages for yachts. Large-scale theme and amusement parks are also envisaged.
EUR 261 million airport plansA consortium led by Germany’s HOCHTIEF AirPort last Thursday promised to pump EUR 261 million into Budapest Airport over the next five years as it announced it had finalised the purchase of the company that runs Ferihegy international airport. Budapest Airport spokesman Domokos Szollár said in a statement that the new management would focus on “the further development, expansion and modernisation of the airport”.Â Â Budapest Airport was privatised in December 2005, when Britain’s BAA bought the airport. However, Spain’s Ferrioval took over the British company and sold Budapest Airport to the consortium for EUR 1.9 billion.
Commerzbank shifting to local managementCommerzbank Zrt. numbers among the banks in Hungary with a totally Hungarian board of directors. András Kozma will succeeded Oliver Sipeer as president and managing director with effect from 1 July. After more than four and a half years in Budapest, Sipeer is returning to the headquarters of the bank in Frankfurt. At the same time as this change, chief executive Tamás Hák-Kovács is also leaving Budapest to continue his career as president of Commerzbank Eurasia in Moscow.
MNB Monetary Council proving itself with steady approachIt is two weeks since the central bank rate decision on 22 May and the National Bank of Hungary (MNB) inflation report published on the same day, yet the development of monetary policy and related expectations are still the main driving factors on the forint and bond markets. This should give no cause for surprise. Firstly, market surveys carried out prior to the decision reflect the division of opinion among analysts, and, secondly, the latest inflation forecast of the MNB caused a negative assessment.
Hunt on for tax-dodging politicianFollowing the publication of an editorial in the May edition of Manager Magazin that contained allegations of financial impropriety by an unnamed government politician, the deputy leader of the conservative Hungarian Democratic Forum (MDF) has called for the Prime Minister to deal with the case and name the politician in question.
Growth tied to ability to integrate new workersThomas
Beyer, the CEO of Robert Bosch Kft., who has been in charge of the
German engineering giant’s Hungarian activities for six months, last
week spoke to The Budapest Times about the opportunities Hungary offers
and the difficulties of doing business here as a result of the
government’s austerity package.