The demand for private schools has increased significantly in our country
Due to the state of public education in Hungary (underfunding, shortage of teachers, outdated curricula, etc.), the demand for private institutions has increased significantly. In the period between 2020-2023, the number of students studying in private schools increased from 59,000 to 64,000, so the importance of private educational institutions also increased during this period, 23% of secondary education institutions in Hungary were already foundation-maintained or private in 2022-2023 in the academic year. The average annual income of organizations operating Hungarian schools is HUF 767 million, while that of international institutions is higher, exceeding HUF 1 billion, according to the BDO Corporate Finance study.
In recent years, the market of private schools in Hungary has undergone dynamic development, to such an extent that the institutions cannot meet the ever-increasing demand. The utilization of more and more private schools has become saturated, and longer waiting lists have formed. This trend is further strengthened by the infrastructural development of private educational institutions, their preparedness in the field of digitalization, and the continuous increase in demand for modern pedagogical methods.
During the detailed examination of the market, the BDO Corporate Finance team examined 28 educational institutions in the Hungarian private school market, of which 10 were identified as Hungarian and 18 as international institutions. 46% of the investigated institutions, i.e. 13 institutions, provide education for students from kindergarten to high school (ages 3-18), while 10 serve elementary and high school age groups, and 5 institutions focus exclusively on high school students.
The demand for private education is increasing
Several new private schools have been established in Hungary in recent years. According to information provided by the Association of Foundation and Private Schools (AME), more than 20 new foundation and private schools have started operating in the country since 2018. Among the new institutions is the Diákszempont Elementary School and Gymnázium in Budapest (2019), but the Budapest School also opened several micro-schools (Solymár in 2018, Érden in 2020) in the Pest county. In addition, several operating institutions are planning to expand their capacities or are even thinking about creating a new campus.
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