Portfolio Analyst Sees Debrecen as Significant Part of Hungarian Economy Despite Centralisation Around Budapest
The next phase of economic growth, the impact of investments, and opportunities for businesses were discussed at Portfolio’s conference in Debrecen. Alongside the property and energy markets, the automotive industry, the issue of EU funding, and financing for SMEs were also key topics at the event.
According to Krisztián Kabát, analyst at Portfolio Group, although Hungary is highly centralised around Budapest and much of its economic activity is concentrated there, Debrecen nevertheless remains a very significant part of the Hungarian economy. He described Debrecen as the stronghold of Hungary’s eastern region.
He said that the energy sector will be important in drawing down EU funding, as companies can save considerable resources by operating in an energy-efficient manner. Regarding grant schemes, he said it is not yet clear in what form the funding will become available or which types of projects will be eligible.
The analyst believes that energy efficiency and the strengthening of energy networks are essential. The latter is particularly important for Debrecen, as the city is home to many major energy consumers and industrial facilities with substantial energy demands, all of which require a secure supply. He added that Hungary is performing well in terms of solar panel installation. However, energy storage investments may receive greater attention in the future, as they can help businesses use energy more efficiently and, in the longer term, reduce their costs.
It was noted at the forum that many companies are struggling with inadequate infrastructure. Krisztián Kabát believes that before the 2022 energy crisis, businesses paid little attention to this issue because energy bills represented only a small proportion of their overall costs. Since then, however, operating sustainably has become a key priority. The energy analyst also pointed out that funding available for solar energy projects may decrease, as Hungary is already well advanced in this area. In his view, energy storage investments are likely to receive greater emphasis in the future, as they can also help businesses improve energy efficiency and thereby reduce costs over the longer term.
Krisztián Kabát advises smaller businesses to keep themselves informed about market developments and to consult as many experts and investors in the field as possible. He also emphasises the importance of gathering extensive information and tailoring developments to the specific needs of their own businesses, as different enterprises often have different requirements.
Source and photo credit: dehir.hu

