ARTICLE · 15 NOVEMBER 1995
Privatization of the Hungarian Electricity Industry
The privatization of the HUF 600 billion Hungarian electricity industry to be launched in the near future is an appealing project for many foreign investors. Interested investors need to be prepared to inject capital into this industry branch, however, in order to modernize it. The other goals to consider during the privatization process are (i) the goal to generate more profits and (ii) to provide opportunities for Hungarian contractors.
MORE PROFIT
Currently the Hungarian electricity industry has substantial losses at the end of each fiscal year. The reasons for such losses are numerous, one of which is the periodically occurring price increase of gas, coal and other raw materials used for producing electricity with the price of electricity having remained stagnant prior to September, 1995. Additionally, the Hungarian electricity industry is in the process of repaying loans with high interest rates. All of the above induced the Hungarian government to raise the price of
We operate a free-to-view policy, asking only that you register in order to read all of our content. Please login or register to view the rest of this article.
