Hungarian Development Bank to receive 645 billion forint capital increase

Economic and Energy Minister István Kapitány announced that the Hungarian Development Bank (MFB) will undergo a significant capital increase of 645 billion forints (approximately 1.8 billion euros) using EU funds. The government aims to transform the MFB into a true development partner for growing businesses rather than just a source of financing.

A primary focus of this initiative is supporting small and medium-sized enterprises (SMEs). The MFB plans to allocate 125 billion forints from this capital increase toward SMEs, with the goal of mobilizing up to 360 billion forints by attracting additional private capital. This program could potentially assist up to 10,000 Hungarian businesses through new credit opportunities and guarantee instruments.

Beyond business support, the funds are earmarked for strategic investments, including the construction of new rental housing and dormitory facilities, as well as providing capital for innovative companies. The minister emphasized that the goal is to build more competitive Hungarian businesses by providing not only capital but also the specialized expertise required to enter international markets.