current issues in tourism policy making in hungary dr andrea nemes director general tourism and...

Current Issues in Tourism Policy Making in Hungary

Dr Andrea NemesDirector General

Tourism and Catering Department

Current Issues of Tourism Policy in Hungary

3

National Tourism Development Concept 2014-

2020

4

Objectives

5

Szechenyi Recreation Card (SzRC) – A Means for

Encouraging Domestic Tourism

6

What is SzRC?• Through the tax system the Hungarian state

encourages the employers to give non-wage benefits as they can be provided to the employees under more favourable taxation conditions than salaries.

• A net wage of 100 forints costs now 196 forints to the employers, while a net fringe benefit of 100 forints costs only 135.7 forints to them.

• The fringe benefit system can provide additional resources to important social and economic policy objectives, as all the benefits are earmarked.

• SzRC is a type of fringe benefits which can be used for purchasing tourism-related domestic services.

7

Accommodationsub-account (750

EUR)

Cateringsub-account (500

EUR)

Leisuresub-account (250

EUR)All types of accommodation services

Spa and lido tickets

Domestic travel package

Restaurants and canteens

Cultural services: e.g. festival,

concert, theatre, museum ticketsSport services: fitness center,

swimming pool, ski resort ticket, rental of sports

equipmentAmusement park and zoo ticketsCertain types of

health care services

etc.

+

8

The System of SzRC andIt’s Results Until 31 July 2013

EMPLOYER

ISSUER

EMPLOYEE

SERVICE PROVIDE

Rcashvoucherservice

Employer: 21,897

Employee: 858,114

Service provider: 49,049

Amount transferred to SZEP Cards in 2013: EUR 153 million

Amount spent from SZEP Cards in 2013: EUR 129 million

Tourism Trends in Hungary - Statistics

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Number of Guest Nights at Commercial Accommodation, 2007-2012

Source: HCSO

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Hungary’s TOP 10 Sending CountriesCountry Guest nights

at commercial accommodat

ion, 2012

2012/2011 (%)

1. Germany 2 146 491 +3.12. Austria 804 268 -0.63. Italy 624 459 +18.14. Russia 614 077 +32.95. United Kingdom

608 112 +12.8

6. the Czech Republic

538 591 +4.8

7. Poland 485 062 +8.38. the Netherlands

459 543 +36,6

9. USA 450 573 +0.110. Romania 419 030 +0.9

Source: HCSO

Russian Tourists in Hungary - Statistics

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Number of Russian Guests at Commercial Accommodation, 2007-2012

Source: HCSO

Guests2012/201

1+28.9%Guest nights

2012/2011

+32.9%

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Russian Tourists in Hungarian Spa Hotels

• According to the number of guest nights Russia is the 2nd most important source market

• In 201226 517 guests → +85% to 2011201 344 guest nights → +80% to 2011

• Average length of stay: 7.6 nights

Source: HCSO

15Source: HCSO

Russian Tourists at Commercial Accommodation, January-July 2013

Numberof

Guests

Jan-Jun 2013/Ja

n-Jul 2012 (%)

Numberof Guest Nights

Jan-Jun 2013/Jan-Jul 2012 (%)

CommercialAccommodation

103 576 +19.4 417 351 +21.8

From which: Hotels

100 549 +19.7 405 854 +22.6

~1/3 of Russian guest nights realized in spa hotels, where the average length of stay was 9 nights, while the number of guests was 14 625 and the number of guest nights was 132 149

Tourism Policy Priorities on the Russian Market

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Direct flights between Hungary and Russia

• Scheduled flights on the route Budapest-St. Petersburg and between Hévíz and Moscow are expected to be launched in the near future

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Visas

• Our objectives are– assist in simpler and faster procedures for the

reception and consideration of visa applications– outsourcing of visa applications to attract

more tourists and to facilitate the access for visas

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Medical Treatment, Rehabilitation

• Exploring opportunities for co-operation

• Our aim isto assist Hungarian spa resorts, spas and

tour operators in meeting the increasing demand of the Russian market

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Ministry

Ministry

forfor Natio

nal

Natio

nal

Economy

Economy

Tourism

Tourism and Caterin

g

and Catering

Department

Department

Dr Andrea N

emes

Dr Andrea N

emes

Director G

eneral

Director G

eneral

Email:

Email:

andrea.nemes@ngm.gov.h

u

andrea.nemes@ngm.gov.h

u

Thank you for your attention!