AI and sustainability could be breakout points for midsize companies in times of uncertainty

Economic challenges and adaptation

The OECD forecasts that global economic growth could slow from 3.3% to 2.9% in 2025, and mid-market companies’ expectations for exports and international revenue have also decreased. Despite this, two-thirds of companies expect sales and profits to increase, and more than half expect selling prices to increase. The biggest challenges include economic uncertainty (61%), cybersecurity risks (52%) and increasing market competition (53%).

Information security: both a constraint and an opportunity

Hungary was among the first to implement the NIS2 Directive, creating one of the strictest information security regulations in the EU. This increases compliance costs, but it can also provide a competitive advantage in the long term for those who adapt in a timely and effective manner.

Export markets: cautious expansion

Half of medium-sized companies plan to enter a new country, but they typically prefer to maintain their existing positions. In Hungary, high export exposure poses a risk, but shortening supply chains and the relocation of production to nearshore can also bring new opportunities.

AI and digitalization at the forefront of investments

Globally, 68% of medium-sized companies plan to invest in IT, primarily focusing on artificial intelligence solutions. The situation is similar in Hungary, but many companies do not have the appropriate internal expertise. IT is followed by human resource development (59%), R&D (60%), and workplace infrastructure development.