June 7, 2007

Napi Gazdaság

By Linda Badacsonyi

"We Should Be Banging on the Doors of American Investors Day and Night"

An interview with Ambassador of Hungary to the US András Simonyi about American-Hungarian relations and the Americans' view on economic and cultural life in Hungary.

- What do Americans think about Hungary in general?

- I have recently heard businessman say that Hungary is a bit similar to Italy. It's making giant leaps forward.

- But they were not hinting at the "Godfather-feeling", were they?

- Not at all. Northern Italy is one of the most prosperous regions both in an economic and cultural sense even from a European point of view, and it has a good reputation all over the world. I don't think we could possibly have gotten a more positive message, and I'm very glad that Hungary is not solely judged on the basis of daily political issues. Of course the country’s image may have been slightly altered after the street incidents in the fall, but all in all our country is viewed as a dynamically progressing one.

- What kind of opinion do Americans have on the Hungarian economy?

- We are making significant profits, our balance is positive. Our exports are greater than those of other countries in the region. This means that the structure of the Hungarian economy is such that it is recognized by even the most developed markets. The structure of Hungarian industries has been entirely transformed and modernized in the past fifteen years, and today we manufacture the most cutting-edge products with the most up-to-date technologies. American companies with a presence in Hungary are increasingly satisfied with the country based on their feedback. The tax system is certainly being criticized since it is the tax rate that investors primarily look at, but they also add that productivity has improved a lot, which makes it worthwile to invest, especially in industries with a high added value.

- What kind of changes has the expansion of the EU triggered in terms of investments?

- Our past advantage has dwindled, the new EU-members have diverted working capital from us. What poses a problem is not the flee of traditional industries without added value but that of the more sophisticated ones. This can be prevented by improving the infrastructure, educating the workforce, promoting language skills, security, and transparency. János Kóka's idea to strive for transparency in handling issues has been welcomed.

- Based on your experience, how do you think the Hungarian state helps foster economic partnerships?

- This field has been quite vague up till now. I'm glad that we are going to have economic representation in New York again, whose shutting down I strongly opposed. Our representation is very strong in Washington, which also holds true for Los Angeles and Chicago. Our recent decisions about swearing in new honorary consuls have been mostly influenced by the ability of the nominees to promote our economic interests. We should be intensifying our economic communication and taking more advantage of the opportunities offered by the Internet though. I consider building connections between high-level governmental work and the private sector important because in this way many things could be more comprehensible for economic players.

- What else could we do in order to foster economic partnerships?

- I would like the stakeholders of the Hungarian economy, more specifically, executives in the private sector, to take up a more active role. They should be knocking on doors day and night, and not just on the door of the embassy but on the doors of investors and business partners as well. Hungary is about to step into a phase of remarkable progress in the next decade, to which capital, very strong partnerships, and good markets for expansion are crucial.

- Don't Hungarian executives see this?

- Not to a sufficient extent. Nonetheless, we have some good examples, too, such as the executive of Kürt Company, Sándor Kürti. I'm also pleased with the work and activity of AmCham because competition is extremely intense.

- What can businesspeople and artists with Hungarian roots who live in the US do for Hungary?

- We have to think over how people who have already done a great deal to improve our reputation can further benefit us in the achievement of our aims; Charles Simonyi, George Oláh, Tony Curtis, Tom Lantos, Chairman of the Committee on Foreign Affairs in the U.S. House of Representatives, Steven Udvar-Hazy, the owner of the biggest airplane-leasing company, and one of the most well-known historians of our time, John Lukács, just to mention a few examples. Many respectable Hungarians live in the US and it makes me proud that we can get along with all of them. In part, this accounts for the success of the events commemorating the anniversary of 1956. President Bush invited 50 guests to the screening room of the White House to watch the movie "Children of Glory", after which he gave a reception to honor the guests.

- How do people see Hungarian cultural life in America?

- Politics, economy, and culture are extremely intertwined in Washington. I believe that culture is the best messenger, a communications tool that has to be used. It's not a secret that contemporary Hungarian painters exert a significant influence in Washington, too; their being in the forefront of the art scene is a well-known fact all over the world. The reason why this is important is that a country that is supporting innovation is also conveying a message that it boosts a rich cultural life besides innovations. It made me very glad that Iván Fischer was appointed the principal conductor of the National Symphony Orchestra. Also, a Central-European photo exhibition sponsored by the Central Bank of Hungary has just opened in the National Gallery, showcasing works from the 1920s and 1930s.

Click here to read the original interview in Hungarian...