Hungarian gov't announces new SME support programme

In addition to wage subsidies, the government will also provide support for the purchase of equipment and online development for SMEs, they say. "The project aims to support the capacity development of small and medium-sized enterprises operating in the four most disadvantaged regions of Hungary (Northern Hungary, Northern Great Plain, Southern Great Plain, Southern Transdanubia) and planning to increase their staff by up to 10 people," they say.

In addition, the government says the support is intended to help SMEs adapt to the challenges of the green and digital transition in the longer term. The target group of the project is the unemployed aged 15-64, i.e. those who had no income from work in the month before they were recruited.

For new workers, the period of subsidised employment is 6 months and the period of non-subsidised continued employment is 4 months. In addition, applicants must undertake that during the period of non-subsidised continued employment, neither the working time nor the gross wage of the worker will be reduced below the wage costs paid under the subsidy.

The wage subsidy may amount to a maximum of HUF 400,000 gross per employee per month for 6 months, plus the related social contribution tax. In addition, the purchase of equipment, online marketing and cloud-based business services to promote digital switchover, as well as the service costs of horizontal activities related to the green transition and publicity costs related to the sub-granted aid, up to 30% of the wage costs, are also eligible.

To qualify for the aid, businesses must provide 30% of their own resources, free of state aid. The detailed application documents are now available on the website of OFA Nonprofit Ltd.

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