Hungary Essay Example

Introduction

Economy
Hungary has had economic changes. First, it moved from the centrally planned economy to a market economy. Since such transition occurred, the country has had a per capita income of about two thirds that of the average European Union (28). However, the country faced economic meltdown due to short term public debts brought by the global financial crisis in 2008. This necessitated Budapest to approach the IMF, World Bank, and the EU to make a financial assistance worth above $25 billion. The following year (2009), the government experienced further economic contractions. In 2010, the government, in order to save the situation cut on business and personal income taxes. On the same time, it imposed ‘crisis Tax” to finance institutions, retailers, telecom, and the energy companies. When the situation worsened, the country turned to IMF, the EU, and the World Bank as mentioned earlier. The country reduced its Deficit to less than 3% of the GDP in 2013. The GDP by 2013 was $130.6 billion (CIA, n.d).

Energy

Communication
Hungary boasts of modernized telephone system. The telephone system is highly automated and operates digitally. A fiber optic cable carries most of the trunk services. The digital microwave relay also carries some of the trunk services. In 1996, the country initiated installation of fiber optic cables that eased communication. However, the number of fixed lines has decreased sharply since 2000 due to the increased competition among the mobile cellular providers. The country is connected to other countries through the fiber-optic cable. There are both private and public broadcasters. In particular, the country has 3 publicly owned TV. Such indicates the strong public participation on broadcasting. The international communication cable via fiber-optic cable eases trade among the countries. There many internet users up to 6.176 million by 2009. The number has since risen.

Transportation

Transport is critical in the economic development of any country. In Hungary, there are a total of twenty airports with paved runways and twenty-one without paved runways. These include international airports that connect the country to the globe. In addition, there are three heliports. There is an extensive pipeline that stretches up to 19, 028 kilometers. Of these, pipeline carrying oil total to 1, 007 km while 842 caries other refined products. Pipelines are one for the fastest and safest means of transportation of refined liquid products such as oil. It has minimal waste as well as reduced hazards. On top of these, Hungary has an elaborate network of tarmacked roads linking the country side and the major cities. Some roads are not tarmacked.
In conclusion, Hungary as any other country is faced with infrastructural challenges as well as hard economic times that hit the globe. There is enough room for growth and development in that some of these sectors can be improved and modernized such that optimal service can be obtained.

Reference

CIA. The World Factbook. Retrieved on January 24, 2015 from https://www.cia.gov/library/publications/the-world-factbook/geos/hu.html