BMI View: Hungary ' s tourism sector is expected to expand throughout our forecast period, supported by increasing arrivals and growing receipts. This will support new investment in the hotel industry, particularly in areas outside of Budapest where the market is less developed, offering significant scope for future expansion. The biggest threat facing the sector is the potential for a drop in the economy of key source markets in the eurozone.
|e/f = BMI estimate/forecast. Source: National sources, BMI|
|Hotel and restaurant industry value, HUFbn||451.91||502.48||505.39||524.81||550.50||579.08||606.27|
|Hotel and restaurant industry value, HUFbn, % y-o-y||5.3||11.2||0.6||3.8||4.9||5.2||4.7|
|Hotel and restaurant industry value, USDbn||1.9||1.8||1.7||1.8||2.0||2.0||2.1|
|Hotel and restaurant industry value, USDbn, % y-o-y||1.1||-7.3||-4.3||5.8||7.6||3.7||2.0|
|International tourism receipts, USDbn||7.48||7.86||8.22||8.62||9.08||9.59||10.31|
|International tourism receipts, USDbn, % y-o-y||12.1||5.1||4.6||4.9||5.3||5.6||7.5|
|International tourism receipts, HUFbn||1,740.56||2,193.58||2,412.01||2,484.12||2,550.71||2,733.20||3,015.15|
|International tourism receipts, HUFbn, % y-o-y||16.7||26.0||10.0||3.0||2.7||7.2||10.3|
|Total arrivals, '000||12,140.00||14,316.00||15,246.00||16,121.00||16,963.00||17,824.00||18,803.00|
|Total arrivals, '000, % y-o-y||14.3||17.9||6.5||5.7||5.2||5.1||5.5|
Key Updates And Forecasts
From 2017, Hungary's National Agency For Tourism will be responsible for promoting and developing tourism across the country, with a focus particularly on Tokaj, the Balaton area, Budapest and Sopron. A new tourism strategy is under development and is expected to be released by the end of 2016.
Hungarian low-cost airline Wizz Air, the largest low-cost carrier in Central and Eastern Europe, continues to add new routes, including flights to Hannover (Germany), Bergen (Norway) and Faro (Portugal).
Budapest is currently bidding to host the 2024 Summer Olympic Games, and the government has announced a number of supporting measures including the development of a new passenger terminal at the capital city's airport at a cost of EUR160mn (USD178mn).
The Hungary Tourism Report has been researched at source and features BMI Research's independent assessment and forecasts for tourist expenditure; government expenditure on tourism; passenger arrivals and departures by mode of transport, reason for travel, origin and destination; and the accommodation market.
BMI's Hungary Tourism Report provides industry professionals and strategists, corporate analysts, associations, government departments and regulatory bodies with independent forecasts and competitive intelligence on the Hungarian tourism industry.
- Benchmark BMI's independent tourism industry forecasts for Hungary to test other views - a key input for successful budgetary and planning in the Hungarian tourism market.
- Target business opportunities and risks in the Hungarian tourism sector through our reviews of latest industry trends, regulatory changes and major deals, projects and investments in Hungary.
- Assess the activities, strategy and market position of your competitors, partners and clients via our Company Profiles (inc. KPIs and latest activity).
BMI Industry View
This contains a synopsis of our forecasts, and any changes, together with an overview of key trends and developments in the tourism industry, and an assessment of the impact of various economic and national factors which might affect the sector. It also covers new transport projects, new hotel developments, and acquisitions.
Industry SWOT Analysis
Analysis of the major Strengths, Weaknesses, Opportunities and Threats within the tourism sector and within the broader political, economic and business environment.
BMI Industry Forecast Scenario
Forecasts to end-2019 for all key indicators, supported by explicit assumptions, plus analysis of key downside risks to the main forecasts:
- Inbound Tourism: Total arrivals (‘000 and growth % y-o-y), arrivals by region (‘000 and growth % y-o-y), arrivals by country (‘000 and growth % y-o-y), top 10 source countries for arrivals.
- Outbound Tourism: Total departures (‘000 and growth % y-o-y), departures by regional destination (‘000 and growth % y-o-y), departures by country (‘000 and growth % y-o-y), top 10 destination countries.
- Travel & Receipts: Methods of travel for arrivals (air, ship, rail) (‘000 and growth % y-o-y), international tourism receipts for transport (USDbn and growth % y-o-y), international tourism receipts for travel items (USDbn and growth % y-o-y).
- Hotels: Hotel industry value (USDbn and growth % y-o-y), number of hotels (‘000 and growth % y-o-y), total overnight stays (‘000 and growth % y-o-y), length of stay, occupancy rate (%), number of total
BMI’s Tourism Risk Reward Index
BMI’s Risk Reward Indices provide investors (tour operators, tourism infrastructure investors, financial institutions) looking for opportunities in the region with a clear country-comparative assessment of a market’s risks and potential rewards.
Each of the country markets are scored using a sophisticated model that includes more than 40 industry, economic and demographic data points to provide an indices of highest to lowest appeal to investors, with each position explained.
This contains a comprehensive overview of the tourism industry in the country, its overall value, the value of its hotels industry, trends in the hotels industry and any new developments. It also contains an evaluation of the top 10 global hotel groups’ presence in the country, which brands are present in which cities, the number of hotels and any planned developments and strategies. The Market Overview also considers the tourism infrastructure developments in the country, in particular transport infrastructure projects such as ports and airports. Tables are also included from our regularly updated Key Projects Database, which contain details of projects, their value, the time frame, their current status, the companies involved and their estimated completion dates.
This section provides insight into key domestic players in the hotel industry, discussing, for example, the number of hotels, brands, financial data, geographical spread, recent developments and strategies of individual companies.
The Tourism Reports draw on an extensive network of primary sources, such as multilateral organisations, government departments, industry associations, chambers and company reports.
*Company profiles are not available for every country. Those reprts instead contain information on the current activities of prominent companies operating in the market.