CENTRAL HUNGARY - Geography and history
Varied landscape, rich history
Situated in the north center of Hungary, the province of Central Hungary borders on Central Transdanubia in the west, Southern Great Plain in the south and Northern Great Plain in the south east and Northern Hungary the north east. With an area of 6 919 square kilometres, Central Hungary is the smallest region in Hungary but is the most densely populated region (408 inhabitants per square kilometre in 2003). The region had 2 825 thousand inhabitants at the 1st of January 2003, representing 28% of the Hungarian population.
Central Hungary lies at the meeting-point of several different natural-geological areas: thus, the features of the terrain are highly varied. In the north is characterised by mountains while loess and sand plateaux are predominant in the south. The region is divided into two parts by a one hundred kilometres stretch of the river Danube, representing a quarter of the Hungarian length of the river, running in the north-south direction. It is not solely a picturesque river that provides the region's unique natural character, but also the islands developed by the river stretching from the Danube bend to Csepel Island. Other watercourses in the region include the Ipoly, a tributary of the Danube, the Galga and the Tápió, which flow towards the Tisza.
The proximity of the Danube is also relevant from a historic point of view. Aquincum was built by the Romans on the ancient military and defence line, the "limes", on the territory of present-day Budapest: its ruins still stand today. Buda Castle was built by King Béla IV after the invasion of the Mongols in the 13th century and its role was to keep the Danube and the surrounding landscape under control. The buildings of the 150-year Turkish regime such as the Gül Baba Tomb and the Royal spa with its typical octagonal pool still remind us of the once resident Turkish culture.
The character of the region Central Hungary is clearly determined by the fact that its area includes Budapest, the capital of Hungary, which, including its conurbation, is a unique sized concentration in every respect. Thus, this region has a leading position and a high importance among Hungarian regions. For instance, it concentrated 44% of the gross domestic product of the country in 2001 but also 40% of active corporations and unincorporated enterprises, of which 61% of enterprises with foreign direct investments (FDI) and 69% of their subscribed capital. Moreover, the gross domestic product per capita in Central Hungary is the highest in the country, with EUR 7 540 per inhabitant in 2000.
Developed infrastructure, knowledge-based economy
Due to the country's radial road and railway network, this region is the most important Hungarian transport node. The area has a denser than average road network: all the motorways pass through the region. The European main traffic corridors also meet in the region.
The Hungarian international air traffic centre with two terminals at Ferihegy Airport is situated in this region. These terminals are used by thirty world airlines. Due to Ferihegy Airport, the region is linked with 32 countries and half of the passenger traffic (which means five million passengers annually) is handled by Hungarian Airlines. Thus, the region is easily accessible both from inside and outside the country.
The prosperity of Central Hungary is due to service and trade sectors as well as industry. Industrial parks, established over the last few years, also contribute to this spectacular growth. Particularly attractive conditions are provided to attract investors: building sites supplied with public utilities with excellent infrastructure, and local government reductions. However, the emphasis is rather on the trade and services industries because of the good access and the significant market of three million people. These sectors employ the largest number of workforce, have the biggest concentration of capital and also provide the best profits. In 2001, the employment rate of Central Hungary was one of the highest in the country with 60.6%, while the unemployment rate, at 2.0% was the lowest in the country. The services sector represented 70% of employment in 2000, the highest share of the country. For the same year, the share of employment in industry was 28% and the one in agriculture was 2%.
The region plays a central role in the field of financial services. A well-developed banking system and high level services are available for the consumers, investors, entrepreneurs and tourists alike. The only commodity and stock exchange of the country is located in Budapest.
Leading R&D and education
The high education level of the inhabitants (e.g. the number of college graduates) emphasises the central role that the Central Hungary region plays in education and research. With the growing labour market, there are greater chances for younger generation to find employment. Both the secondary schools and the institutions are at a world standard, out of which are noticeable the Budapest University of Economic Sciences and Public Administration, the Eötvös Loránd University, the Budapest University of Technology and Economics, the Semmelweis University and the Szent István University. The role of the region is especially important in the education of economists, doctors, engineers and artists. More than half of the country's higher education students in these fields study in the region, and nearly half of the country's agriculture, natural sciences and law students graduate from here.
The Central Hungarian region plays a determinant role in research and development: approximately two-third of national funds, allocated for these purposes, is invested in this region. While Budapest is regarded as a centre of the Research and Development activities, Gödöllô is a research basis for agricultural sciences.
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