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Hungary
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Background:  Hungary was part of the polyglot Austro-Hungarian Empire, which collapsed during World War I. The country fell under Communist rule following World War II. In 1956, a revolt and an announced withdrawal from the Warsaw Pact were met with a massive military intervention by Moscow. Under the leadership of Janos KADAR in 1968, Hungary began liberalizing its economy, introducing so-called "Goulash Communism." Hungary held its first multiparty elections in 1990 and initiated a free market economy. It joined NATO in 1999 and the EU in 2004.
Geography and Environmental
Capital:  name: Budapest
geographic coordinates: 47 30 N, 19 05 E
time difference: UTC+1 (6 hours ahead of Washington, DC during Standard Time)
daylight saving time: +1hr, begins last Sunday in March; ends last Sunday in October
Area Total:  93,030 sq km
Area Land:  92,340 sq km
Area Water:  690 sq km
Area Comparative:  slightly smaller than Indiana
Coastline:  0 km (landlocked)
Climate:  temperate; cold, cloudy, humid winters; warm summers
Terrain:  mostly flat to rolling plains; hills and low mountains on the Slovakian border
Elevation Extremes Lowest Point:  Tisza River 78 m
Elevation Extremes Highest Point:  Kekes 1,014 m
Natural Resources:  bauxite, coal, natural gas, fertile soils, arable land
Land Use Arable Land:  49.58%
Land Use Permanent Crops:  2.06%
Land Use Other:  48.36% (2005)
Irrigated Land:  2,300 sq km (2003)
Environment Current Issues:  the upgrading of Hungary's standards in waste management, energy efficiency, and air, soil, and water pollution to meet EU requirements will require large investments
Geography Note:  landlocked; strategic location astride main land routes between Western Europe and Balkan Peninsula as well as between Ukraine and Mediterranean basin; the north-south flowing Duna (Danube) and Tisza Rivers divide the country into three large regions
Population
Population:  9,956,108 (July 2007 est.)
Age Structure 0 to 14 Years:  15.3% (male 785,643/female 741,907)
Age Structure 15 to 64 Years:  69.3% (male 3,399,926/female 3,498,403)
Age Structure 65 Years And Over:  15.4% (male 554,356/female 975,873) (2007 est.)
Median Age Total:  38.9 years
Median Age Male:  36.5 years
Median Age Female:  41.5 years (2007 est.)
Population Growth Rate:  -0.253% (2007 est.)
Birth Rate:  9.66 births/1,000 population (2007 est.)
Death Rate:  13.05 deaths/1,000 population (2007 est.)
Sex Ratio At Birth:  1.06 male(s)/female
Sex Ratio Under 15 Years:  1.059 male(s)/female
Sex Ratio 15 to 64 Years:  0.972 male(s)/female
Sex Ratio 65 Years And Over:  0.568 male(s)/female
Sex Ratio Total Population:  0.909 male(s)/female (2007 est.)
Infant Mortality Rate Total:  8.21 deaths/1,000 live births
Infant Mortality Rate Male:  8.91 deaths/1,000 live births
Infant Mortality Rate Female:  7.46 deaths/1,000 live births (2007 est.)
Life Expectancy At BirthTotalPopulation:  72.92 years
Life Expectancy At Birth Male:  68.73 years
Life Expectancy At Birth Female:  77.38 years (2007 est.)
Total Fertility Rate:  1.33 children born/woman (2007 est.)
HIV AIDS Adult Prevalence Rate:  0.1% (2001 est.)
HIV AIDS People Living With HIV AIDS:  2,800 (2001 est.)
HIV AIDS Deaths:  less than 100 (2001 est.)
Religions:  Roman Catholic 51.9%, Calvinist 15.9%, Lutheran 3%, Greek Catholic 2.6%, other Christian 1%, other or unspecified 11.1%, unaffiliated 14.5% (2001 census)
Languages:  Hungarian 93.6%, other or unspecified 6.4% (2001 census)
Literacy Definition:  age 15 and over can read and write
Literacy Total Population:  99.4%
Literacy Male:  99.5%
Literacy Female:  99.3% (2003 est.)
Administrative Divisions:  19 counties (megyek, singular - megye), 22 urban counties (singular - megyei varos), and 1 capital city (fovaros)
counties: Bacs-Kiskun, Baranya, Bekes, Borsod-Abauj-Zemplen, Csongrad, Fejer, Gyor-Moson-Sopron, Hajdu-Bihar, Heves, Jasz-Nagykun-Szolnok, Komarom-Esztergom, Nograd, Pest, Somogy, Szabolcs-Szatmar-Bereg, Tolna, Vas, Veszprem, Zala
urban counties: Bekescsaba, Debrecen, Dunaujvaros, Eger, Gyor, Hodmezovasarhely, Kaposvar, Kecskemet, Miskolc, Nagykanizsa, Nyiregyhaza, Pecs, Salgotarjan, Sopron, Szeged, Szekesfehervar, Szekszard, Szolnok, Szombathely, Tatabanya, Veszprem, Zalaegerszeg
capital city: Budapest
Legal System:  rule of law based on Western model; accepts compulsory ICJ jurisdiction, with reservations
Economy
Overview:  Hungary has made the transition from a centrally planned to a market economy, with a per capita income nearly two-thirds that of the EU-25 average. Hungary continues to demonstrate strong economic growth and acceded to the EU in May 2004. The private sector accounts for over 80% of GDP. Foreign ownership of and investment in Hungarian firms are widespread, with cumulative foreign direct investment totaling more than $60 billion since 1989. Hungary issues investment-grade sovereign debt. International observers, however, have expressed concerns over Hungary's fiscal and current account deficits. Inflation has declined from 14% in 1998 to 3.7% in 2006. Unemployment has persisted above 6%. Hungary's labor force participation rate of 57% is one of the lowest in the Organization for Economic Cooperation and Development (OECD). Germany is by far Hungary's largest economic partner. Policy challenges include cutting the public sector deficit to 3% of GDP by 2008, from about 6.5% in 2006, and tackling a persistent trade deficit. The current government has announced and begun to implement an austerity program designed to address these issues, leading to eventual adoption of the euro.
GDP Purchasing Power Parity:  $172.7 billion (2006 est.)
GDP Real Growth Rate:  3.8% (2006 est.)
GDP Composition By Sector Agriculture:  3.1%
GDP Composition By Sector Industry:  32.1%
GDP Composition By Sector Services:  64.8% (2006 est.)
Labor Force:  4.2 million (2006 est.)
Labor Force By Occupation:  agriculture: 5.5%
industry: 33.3%
services: 61.2% (2003)
Unemployment Rate:  7.4% (2006 est.)
Household Income Or Consumption By Percentage Share:  lowest 10%: 4.1%
highest 10%: 22.2% (2002)
Inflation Rate Consumer Prices:  3.7% (2006 est.)
Industries:  mining, metallurgy, construction materials, processed foods, textiles, chemicals (especially pharmaceuticals), motor vehicles
Industrial Production Growth Rate:  9.5% (2006 est.)
Energy
Electricity Production:  31.83 billion kWh (2004)
Electricity Production By Source Fossil Fuel:  60.1%
Electricity Production By Source Hydro:  0.5%
Electricity Production By Source Nuclear:  39%
Electricity Production By Source Other:  0.3% (2001)
Electricity Consumption:  37.1 billion kWh (2004)
Electricity Exports:  6.3 billion kWh (2004)
Electricity Imports:  13.8 billion kWh (2004)
Oil Production:  47,530 bbl/day (2004 est.)
Oil Consumption:  132,000 bbl/day (2004 est.)
Oil Proved Reserves:  110.7 million bbl (1 January 2002)
Natural Gas Production:  2.963 billion cu m (2004 est.)
Natural Gas Consumption:  14.46 billion cu m (2004 est.)
Natural Gas Exports:  0 cu m (2004 est.)
Natural Gas Imports:  11.42 billion cu m (2004 est.)
Natural Gas Proved Reserves:  34.26 billion cu m (1 January 2005 est.)
Exports:  $67.99 billion f.o.b. (2006 est.)
Exports Commodities:  machinery and equipment 61.1%, other manufactures 28.7%, food products 6.5%, raw materials 2%, fuels and electricity 1.6% (2003)
Exports Partners:  Germany 30.2%, Italy 5.7%, Austria 5.6%, France 5.3%, UK 5.1% (2005)
Imports:  $69.75 billion f.o.b. (2006 est.)
Imports Commodities:  machinery and equipment 51.6%, other manufactures 35.7%, fuels and electricity 7.7%, food products 3.1%, raw materials 2.0% (2003)
Imports Partners:  Germany 27.5%, Russia 7.4%, China 7.1%, Austria 6.6%, France 4.9%, Italy 4.9%, Netherlands 4.3% (2005)
Debt External:  $107.3 billion (30 June 2006 est.)
Economic Aid Recipient:  $3.4 billion in available EU structural adjustment and cohesion funds (2004-06)
Communications
Telephones Main Lines In Use:  3.356 million (2005)
TelephonesMobileCellular:  9.32 million (2005)
Telephone System General Assessment:  the telephone system has been modernized and is capable of satisfying all requests for telecommunication service
Telephone System Domestic:  the system is digitalized and highly automated; trunk services are carried by fiber-optic cable and digital microwave radio relay; a program for fiber-optic subscriber connections was initiated in 1996; heavy use is made of mobile cellular telephones
Telephone System International:  country code - 36; Hungary has fiber-optic cable connections with all neighboring countries; the international switch is in Budapest; satellite earth stations - 2 Intelsat (Atlantic Ocean and Indian Ocean regions), 1 Inmarsat, 1 very small aperture terminal (VSAT) system of ground terminals
Radio Broadcast Stations:  AM 17, FM 57, shortwave 3 (1998)
Radios:  7.01 million (1997)
Television Broadcast Stations:  35 (plus 161 repeaters) (1995)
Televisions:  4.42 million (1997)
Internet Service Providers-ISPs:  16 (2000)
Internet Users:  3.05 million (2005)
Transportation
Railways Total:  7,937 km
Railways Broad Gauge:  36 km 1.524-m gauge
Railways Standard Gauge:  7,682 km 1.435-m gauge (2,628 km electrified)
Railways Narrow Gauge:  219 km 0.760-m gauge (2005)
Waterways:  1,622 km (most on Danube River) (2006)
Airports:  46 (2006)
Military Expenditures Percent Of GDP:  1.75% (2005 est.)
Disputes International:  bilateral government, legal, technical and economic working group negotiations continue in 2006 with Slovakia over Hungary's failure to complete its portion of the Gabcikovo-Nagymaros hydroelectric dam project along the Danube; as a member state that forms part of the EU's external border, Hungary must implement the strict Schengen border rules
IllicitDrugs:  transshipment point for Southwest Asian heroin and cannabis and for South American cocaine destined for Western Europe; limited producer of precursor chemicals, particularly for amphetamine and methamphetamine; efforts to counter money laundering, related to organized crime and drug trafficking, are improving, but remain vulnerable; significant consumer of ecstasy