Hungarian government makes several major end-year budget reallocations
Under the decision, which has just been published in the Hungarian Official Gazette, funds will be distributed among transport companies in a targeted way. The largest amount will go to Volánbusz Ltd, which will receive more than HUF 40 billion to maintain bus transport services, including intercity and suburban services in the capital. In addition, the state railway company MÁV group will also receive significant funding:
a total of nearly HUF 44 billion is allocated to finance the rail network and public passenger transport services.
Smaller transport companies, such as Trans-Tour and Weekendbus, will also receive subsidies to cover the previous year's accounts. The measure also includes ownership support for MÁV Rail Tours and Volánbusz.
The subsidies are partly covered by redeployed public funds totalling more than HUF 87 billion.
Motorways will also be improved
The government is earmarking more than HUF 25 billion in the coming years to finance road infrastructure development tasks undertaken under the motorway concession contract. There will also be money for the development of the M34 motorway and the widening of the M1, according to a decision published in the Hungarian Official Gazette.
Under the decision, several major projects will be implemented in different parts of the country. The preparation of the section of the M34 motorway between Vásárosnamény and Záhony is entering the final planning phase, while
the acquisition of land for the widening of the M1 motorway to two lanes will also begin.
In addition, a roundabout will be built on Bucsai Road, and land acquisition and junction development works will be launched on several other motorway-related roads, including the M4 and M86.
The improvements will be financed over a number of years in a phased approach. For the year 2025, HUF 6 billion will be earmarked for road development under the Public Investment heading. A further HUF 14.96 billion will be available for 2026 and HUF 5.01 billion for 2027.
The simplified investment rules applicable in a state of danger will be used for the implementation of the improvements in order to speed up the preparation and implementation.
The Minister of Construction and Transport and the Minister of Finance jointly ensure that the necessary resources are made available and that the tasks are carried out in a timely manner.
The 35-year concession of the Hungarian motorway network was won by a consortium led by the Themis Private Equity Fund, which included interests of pro-government billionaire entrepreneurs Lőrinc Mészáros and László Szíjj László, and from which MKIF Hungarian Concession Infrastructure Development Ltd was established. In the 2024 budget, the government will pay a HUF 200 billion availability fee to the concessionaire for the operation and maintenance of the motorways.
Cover photo (for illustration purposes only): Getty Images
