Hajdu-Bihar County Foundation for Enterprise Promotion

1. Hajdu-Bihar County Foundation for Enterprise Promotion Viktor Vántus Managing director

2. Role of the H-B County Foundation in SME and Economic Development of the County

3. NORTH-GREAT PLAIN

4. NORTH-GREAT PLAIN • Area: 17.754 sqkm • Population: 1.554.000 citizens • GDP per capita: 967.000,- HUF

5. Hajdu-Bihar County

6. Hajdu-Bihar County • Area: 6.210 km2 • Population: 552.000 citizens (5,4%) • County seat: Debrecen • Number of settlements: 83

7. Hajdu-Bihar County Economic data I. The main economic sectors • Agriculture: 9 % • Industry (machinery, pharmaceutical, textile, wood): 26 % • Tourism and services: 60 % • Construction engineering: 5 %

8. Hajdu-Bihar CountyEconomic data II. • GDP: 600 billion HUF. (13 th place) • Export: 694,3 million € • Import: 483,8 million € • Number of employees: 189.800 ps • Number of unemployed: 26.000 ps • Number of enterprises: 40.860

9. Hajdu-Bihar CountyEconomic data III. GDP national: 15.000 billion HUF. county: 600 billion HUF. GDP per capita in the county is 74% of the national level, in the region this is only66%. Unemployment rate: national 6,4 %, regional rate is 8 % county’s rate is 6,8 %

10. Economic organizations in the county Active economic organizations: • The yearly economic and market growth is 5% • The share according operational form: sole entrepreneurs: 54 %, companies with legal entity: 37 %, non for profit organizations: 7,9 %, governmental and local governmental institutions: 1,5 %.

11. Foreign Trade figures of Hajdu-Bihar county Export: 694,3 million €, 63,7 % of it to the EU, 10,7 % to the CEFTA, 4,6 % to the CIS countries. Export is continuously growing. Target countries: Germany, Netherland, USA, Import: 482,8 million €, 62,4 % of it from EU, 13,1 % from CEFTA , 6,3 % from CIS. Import is also continuously growing . The main countries: Germany, Italy, USA.

12. The main characteristics of SME-s, their problems • Lack of capital and recourses • Lack of information • Competitiveness and effectiveness • Lack of managerial knowledges • Legal following attitude • EU compatibility • Lack of connections with EU partners

13. National Development Plan of Hungary: Priorities of the Economic Competitiveness Programme stimulation of investments 1. Stimulation of investments 2. Development of SME-s 3. R/D and Innovation 4. Information society and knowledge base development of economy

14. Objectives of the Regional Operative Programme • Strengthening of the economic potential of some associations of settlements. • Creating attractive environment of settlements and improving living conditions. • Development of the local community capable to renewal.

15. Priorities of the ROP • Development of the regional economic environment. • Integrated development of settlements and their associations. • Improvement of the renewable capabilities of the community. • Technical assistance.

16. How the Region and the County are preparing to joining the EU? • Regional Development Plan and workprogramme are ready • County Strategic Development Plans and Development programmes are ready • Conformity with the National Development Plan • County’s other planning documents

17. Economic Development Programme of Hajdu-Bihar County • General territorial development objectives • Background of the Development Programme • Methodology • Economic Development Proposals

18. Maintaining and raising competitiveness of SME-s I. Main areas for improvement: • Taking over and naturalization of up-to-date technology • Implementation of energy and material attentive, environmental friendly technologies • Achieving higher processing grade of the manufactured products • Manufacturing products containing higher added value and innovation

19. Maintaining and raising competitiveness of SME-s II. • Producing more „Hungaricums” • Application of up-to-date packaging materials and technology • Development of market information and knowledges

20. Maintaining and raising competitiveness of SME-s III. • Knowledge of the competitors and market participants • Obtaining up-to-date managerial knowledge • Increasing subcontracting abilities, achiving the position of stable subcontractor

21. Programmes assisting institutional development of SME-s I. • Filling up existing industrial Parks • Establishing Innovation Centers, Technology Transfer Incubators • Development and support of clusters • Development of Logistic Parks

22. Programmes assisting institutional development of SME-s II. • Continuing supported counselling, training and providing information services • Providing preferential loans • Providing venture capital, loan guarantee scheme

23. Means and possibilities of SME-s development • Mikro-Credit Programme: for starters and operating SME-s up to 3 million HUF • Széchenyi card: for financing current assets, up to 5 million HUF, with short run period • Midi-Loan: Low interest rate loan between 3-10 million HUF for operating SME-s • EUROPE Loan: Low interest rate loan over 10 million HUF

24. Hajdu-Bihar County Foundation for Enterprise Promotion

25. Mission Assisting creation of SME-s, development of their entrepreneurial abilities, culture in changing conditions and environments.

26. Organisational structure FOUNDERS PRESIDENT BOARD OFTRUSTEES Committees Supervising Committee MANAGING DIRECTOR Network division Micro-credit division Financial manager Projekt development division Special Advisory manager Client service External special Advisors Sub-office network

27. Suboffice network

28. Strategic objectives • Assisting creation and market development of SME-s with means of: councelling, training, raising entrepreneurial culture, providing information and preferential loans and development recourses. • Our objective is to find national and international recources, research markets and solutions with which we assist to our clients-SME-s in their operation and development helping them to integrate into EU.

29. Bio-food development plan Development plan for mechanical engineering Strategic plan for tourism development Development plan for handcraft industry Waste material processing plan Strategic plan for development of incubator network Development plan for clothing industry Pork meat processing development plan Development plan for quality milk production Fresh fruit and vegetable marketing plan Strategic economic development plan of H-B County Geothermal energy study Region innovation strategy Development Plans and studies developed by HBC Foundation

30. HB County Foundation and its role in the Economic CompetitivenessOperative Programme • It is declared as one of the intermediatory organization in the implementation of the above programme. • Stimulating cooperation between chambers, local governments, associations of settlements, institutions for high education, etc.

31. Results During the past 10 years of the operation of the Foundation we attracted to our county about 20 m€ development funds, assisted to launch about 500 start up businesses, we contributed to further development of another 1.300 businesses with all of those more then 1.200 jobs were created.