MTÜ: tourism development contribution serves to strengthen the competitiveness of the sector

By: Trademagazin Date: 2025. 11. 03. 10:36

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The 4 percent tourism development contribution (TFH) directly serves to strengthen the competitiveness of the tourism sector, and businesses operating in tourism can receive numerous services and support in return for the fee, the Hungarian Tourism Agency (MTÜ) explained in a statement sent to MTI on Thursday.

The MTÜ recalled in response to a press article: since the 4 percent revenue-based tourism development contribution, which was introduced in 2018 and has remained so ever since, a preferential 5 percent VAT rate has been introduced for food consumed locally and certain locally produced non-alcoholic beverages and for accommodation services. government.

The agency denied the claims in the article that entrepreneurs interested in tourism do not receive any services in return for the fee.

Highlighted:

A part of the revenues from the TFH are reinvested into the sector, whether it is investments, development grants, marketing, digitalization, training.

The support programs Among them, the Kisfaludy Tourism Development Program was highlighted, which has provided nearly 405 billion forints of funding for about 21 thousand developments since its launch. Within the framework of the Sector Support Program, 3,200 restaurants, confectioneries, buffets, casual catering establishments, music and dance venues and cafes outside the capital received 15 billion forints of support, and more than 670 liquor stores operating in settlements can be renovated from 2 billion forints. Tourinform offices received nearly 1 billion forints of support in three phases, they informed.

They added: service providers can join domestic and foreign traffic-boosting campaigns, appear at international fairs, roadshows, and participate in workshops. According to MTÜ data, businesses participating in the campaign achieved higher turnover.

Last year, more than ever before, 18.2 million tourists arrived in Hungary, which represents a 12 percent increase, and the number of guest nights increased to nearly 45 million – MTÜ highlighted, noting that the boom will continue this year as well.

In 2025, guest turnover exceeded 15 million earlier than ever before, at the end of September, and accommodation establishments recorded a revenue of 895 billion forints and catering establishments recorded a revenue of 1,660 billion forints between January and September.

The statement notes that despite the favorable numbers, there is a “repeated negative campaign” about falling traffic and the difficult situation of service providers on the shores of Lake Balaton. By the end of September, however, tourist traffic to Lake Balaton surpassed last year’s record results.

According to the MTÜ, instead of inciting people against Lake Balaton, it would be much more important to talk about the beauty, values, cultural and gastronomic richness of the lake, because the negative political and media campaign could weaken tourism on Lake Balaton, thereby endangering the livelihoods of those living around the lake.