Hungary

Last update: November, 2021

The first decade of the new millennium brought about economic stagnation, including in cultural funding. This was exacerbated by the global economic crisis. Penury of public funds is not counterbalanced by the sizable influx from the European Structural Funds, which can be used for running costs only if justified as development, e.g., human capacity building, regional (urban, rural) development etc.

Important features of the cultural finances of the current government (after 2010) have been

• centralisation: functions taken over by the state from local governments.
• concentration of resources in selected institution like the MMA, lately the Petőfi Literary Museum.
• frequent ad hoc interventions of scales that significantly alter the final balances from the initial annual budgets.
• generous resources for selected projects of iconic value for the current administration.

Indicator 1: About 170 EUR, public cultural expenditure Eurostat – Cofog 08/2, all levels of government, per capita in 2019.

Indicator 2: This corresponds to 1.1% of the GDP (Cofog), or 1.2% (KSH).

Indicator 3: The share of the total public expenditure in 2019 was 2.5%.

In 2019, the population of Hungary was 9.8 million. According to Eurostat/Cofog, total general government expenditure on culture was 1665 million EUR. In 2019, among EU countries, Hungary registered by far the largest ratio to GDP of government expenditure on Cofog 08, 'recreation, culture and religion', over 3% of GDP.

No further detailed information is available on expenditure after 2009. Access to financial data has become even more difficult than before; the website of the State Secretariat for Culture is limited to news, announcements and to the presentation of the structure and main responsibilities. Links lead to the 13 subordinate institutions only.

Last update: November, 2021

The years after the millennium showed continued decentralisation. This trend took a sharp turn after 2010 and by 2012 the central government became a stronger single public funder than the regional and local sources cumulatively. A part of the explanation is the restructuring in the museum sector, whereby the state took charge of many regional and municipal institutions. 

In the absence of available statistics in the country, one must resort to Eurostat for the following data.

Table 14:       Public cultural expenditure by level of government, 2019

Source:    Eurostat Cofog (cultural services)

Last update: November, 2021

Due to the scattered character of public management of culture the combined data of the national statistical agency are used.

Cultural centres (houses of culture, community centres) occupy a decisive position, with folk culture constituting an important segment in their activities. The second biggest item is subsidies to theatres.

Table 15:       Direct state cultural expenditure by sector, in million HUF and %, 2019

Source:    http://www.ksh.hu/stadat_files/ksp/hu/ksp0003.html             

Last update: November, 2021

Direct payment to individuals is in the focus of cultural support (as compared to financing projects). This includes a large number of fellowships, awards, and monthly allowances (to MMA members).  

Last update: November, 2021

The National Cultural Fund is the main public source for financing projects. Some of the calls target individual artists who can apply for grants for creation.

The state-owned Hungarian Creative Arts Nonprofit Ltd. MANK administers over 300 studios with flats across the country, 8 recreation resorts and exhibition facilities etc.            

The rights collecting agencies (Artisjus, Hungart etc.) act also as funds that allocate awards and other benefits to artists.

Last update: November, 2021

Awards and prizes:

Hungary has traditionally had a complex system of state awards and scholarships. The basic structure dates back to the previous (communist) regime; in addition to the existing list, each minister adds at least one new award. On the last 15 March national holiday, 16 awards were allocated to 63 people (or ensembles in a couple of cases). Most of these bear the name of a renowned Hungarian artist: e.g., the Liszt Award is given to 8 musicians each year. Monetary prizes and various lifetime advantages accompany these awards.

Nearly as many state awards are also given to personalities in the cultural life of the country, from the Knight's Cross to the Kossuth Prize. The latter is given to around 20 people each year, usually including several artists, with a financial bonus that is equivalent to half a months' average income (as stipulated by law).

Five artists are awarded the title of Excellent Artist each year, and ten become Worthy Artists, rewarded with a half and one third of the amount of the Kossuth Prize (all these awards are tax free).

The top distinctions are the Order of St. Stephen (originally founded by Maria Theresa in 1764) as well as the Corvin Chain. This latter is held by twelve people at a time, about half of whom are usually from the cultural sector. This award was originally founded by Admiral Horthy in 1930, renewed by the first Orbán-government (1998-2002), and again in 2012.

Twelve people can enjoy the benefits of the title of Actor (or Actress, the Hungarian language does not use gender) of the Nation at one time.

Holders of all the above recognitions can be promoted to the Artist of the Nation award. At any one time 70 people over 65 – or in the case of dance and circus art, over the age of 50 – can bear this title, in ten categories:

• 12           literature
• 10           theatre
• 10           visual arts
• 10           music
• 7             crafts & design
• 6             architecture
• 6             film
• 3             folklore
• 3             dance
• 2             photography
• 1             circus

Artists of the Nation receive life annuity, the amount of which is 23 times the current minimum amount of the old-age pension, currently HUF 655 thousand 500.

Grants and scholarships:

The system of one-year (renewable) state grants has been developing and expanding since 1955. Scholarships are available for nearly 100 people, under 35 years, in each of the following fields: fine arts, photography, design, applied arts, art criticism, literature, play writing, composition, musicology, music criticism, jazz and classical musicianship. MMA annually bestows 3-year cultural grants to another 100 people annually with no age restriction. Recipients of these grants get 200 000 HUF a month (ca. €550). 

In 2020, the Petőfi Literary Museum launched the Térey Grant, for 45 writers between 35-65 years of age, for up to 5 years, for a monthly grant of around the average salary in the country.

These schemes have been crowned by the regimes operated by MMA, presented in chapter 4.1: the allowances that the members of the Academy and the Artists of the Nation receive.

Artists and cultural operators can also apply for scholarships and grants in the general schemes operated by the Hungarian Scholarship Board Office (Magyar Ösztöndíj Bizottság). Senior experts, artists and researchers may seek opportunities to study and work in various countries all over the world through the Hungarian National Eötvös Scholarship (Magyar Állami Eötvös Ösztöndíj). There are also scholarships available to artists from the Collegium Hungaricum in Rome.

Last update: November, 2021

A most unfortunate manifestation of the dividedness of the society is the doubling of professional associations in major cultural fields like theatre and literature along political lines.

The National Cooperation Fund (NEA) distributes financial support to civic organisations upon open calls.