Spillovers from Abroad: A Sectorial Assessment of the Impacts of Foreign Direct Investment on Hungarian Industrial Development

  • ÁdÁm TÕrÕk


This paper wishes to analyse a special aspect of foreign direct investment (FDI) in Hungary, namely its role in fostering the transfer of technology to the country. The amount of FDI totals more than USD 6 billion in early 1995 in Hungary even according to reserved estimates [itBenedek-Kiefer, 1995. p.1.].

This seems to be a quite respectable amount as compared to most other transition economies of the region. The technology content of this volume of FDI has not been analysed yet. This paper is an effort to shed some light on the technologies this inflow of FDI has brought to Hungary.

Section 1 gives an overview of the development and main structural features of FDI inflow in Hungary. Section 2 goes down to the sectoral and subsectoral level with the analysis of cases. These are taken first of all from the automobile industry, but a more general overview of the technology content of main investments is also given. Section 3 offers an assessment of future trends and proposals for economic policy.


Foreign Direct Investment Assembly Line Industrial Policy Foreign Direct Investment Inflow Laminate Veneer Lumber 
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Copyright information

© Kluwer Academic Publishers 1997

Authors and Affiliations

  • ÁdÁm TÕrÕk
    • 1
  1. 1.Research Institute of Industrial Economics of the Hungarian Academy of SciencesJanus Pannonius UniversityPécs

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