Recession continues uninterrupted in Hungary as GKI Economic Research Co. reports. Only stagnation can be expected next year. Domestic demand continues to fall. The agreement with the IMF and the EU is more and more unlikely to materialize and this makes the financing of Hungary more expensive and riskier. As a result, in 2013 the Hungarian economy continues to lag behind its regional competitors.
So here is the new somewhat unorthodox idea the Hungarian government is proposing to fight recession according to this news flash from Reuters today.
Proposed legislation listed on parliament's website would grant permanent residency and ultimately Hungarian citizenship to outsiders who buy at least 250,000 euros worth of special government bonds.
The move, backed by the ruling government party, is designed to attract new investors, especially from China. The proposal could entitle the new bondowners, being Hungarian passport holders, to live and work throughout the European Union. Read the whole Reuters news here.