Individual government decisions (EKD)

?Frequently asked questions:
What should we know about subsidies on research-development projects based on individual goverment decisions (EKD)?

Definition

Subsidisation under individual goverment decisions means in Hungary the form of subsidisation where businesses submit their application for subsidy directly to the Hungarian government. In such cases, the decision on endorsing the application is made uniquely and directly by the government of Hungary.

Legislative grounds

The name may be misleading – despite the decision being made uniquely and directly – yet this form of subsidy is also based on Hungarian legislation enacted in the process of law harmonisation with European Union legislation:

  • EU legal grounds: Article 25 of Commission Regulation 651/2014/EU in application of Articles 107 and 108 of the Treaty on the European Union Communication from the European Commission No. 2014/C 198/01 Article 107 (3) (b) and (c) of the Treaty on the Functioning of the European Union
  • Hungarian legislative grounds: Act CCXXX of 2013 Government Decree No. 2010/2014. (VIII. 27.) Government Decree No. 426/2016. (XII.15.) Government Decree No. 119/2017. (V. 29.) Government Decree No. 346/2017 (XI. 20.)

Conditions of subsidising reseach-development projects

This form of subsidy is available for reseach-development projects as from 2017. The objective of introducing this form of subsidy is to improve the competitiveness of Hungarian economy, by way of providing direct cash for the implementation of reseach-development projects to be performed within Hungary.

Participating organisations

This form of subsidisation is operated by the current minister for foreign trade and foreign affairs on behalf of the Hungarian government, with the involvement of the HIPA – National Investment Agency created for this purpose. Applications of businesses must be submitted to and handled by this agency, where subsidy contracts are also entered into and handled.

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