Tuesday, 2 June 2026
Hungary’s new government, led by Prime Minister Péter Magyar, has introduced a reorganisation of ministerial responsibilities that affects areas including foreign direct investment (FDI), taxation, competition policy, public procurement and healthcare.
The changes, set out in Government Decree No. 90/2026 (V.13.), include the creation of new ministries, the redistribution of portfolios and the abolition of several previous ministerial positions.
FDI Oversight Reassigned
Responsibility for reviewing foreign direct investment transactions has been divided between two ministries.
Under the revised framework, notifications submitted under Act L of 2025 must be filed with the Minister of Economy and Energy, István Kapitány, who now oversees domestic economic affairs. Previously, this responsibility belonged to the Minister for National Economy.
Notifications under Act LVII of 2018, which covers investments affecting Hungary’s security interests, must now be submitted to the Minister of Interior, Gábor Pósfai. This function was previously handled by the Minister of the Prime Minister’s Cabinet Office, a position that has since been abolished.
The changes affect companies planning acquisitions or investments that fall within Hungary’s FDI screening regime.
Tax Policy Returns to Finance Ministry
The government has returned responsibility for tax policy to the Ministry of Finance under Finance Minister András Kármán.
The move reverses the transfer of tax policy responsibilities to the Ministry of National Economy introduced under the previous administration. The restructuring restores a model that was largely in place following Hungary’s transition to a market economy in the early 1990s.
The Ministry of Finance is expected to lead the development of future tax policy initiatives.
Competition Responsibilities Split
Competition-related responsibilities will now be shared between two ministries.
The Minister of Justice, Márta Görög, retains overall responsibility for competition law. However, matters with a significant European Union dimension have been assigned to the Minister heading the Prime Minister’s Office, Bálint Ruff.
These include state aid assessments under Article 107 of the Treaty on the Functioning of the European Union (TFEU), as well as the transmission of court decisions to the European Commission in cases involving Articles 101 and 102 TFEU and the Digital Markets Act.
The changes reflect the Prime Minister’s Office’s broader role in coordinating EU-related matters.
Public Procurement Moves Under Finance Ministry
Public procurement policy and oversight have also been transferred to the Ministry of Finance.
The ministry will be responsible for preparing legislation, formulating procurement policy and overseeing implementation. Operational functions will continue to be managed through the National Development Centre.
The Finance Ministry has also assumed responsibility for the supervision of state assets, including contracts related to privatisation, concessions and public-private partnership projects. Oversight of national public road concession agreements will remain with the Minister of Transportation and Infrastructure.
New Healthcare Ministry Established
One of the most significant institutional changes is the creation of a dedicated Ministry of Health Care, marking the first time since 2010 that healthcare has been managed by a standalone ministry.
The new Minister of Health Care, Zsolt Hegedűs, will oversee healthcare policy, social security, drug prevention and drug policy coordination.
The ministry has outlined plans for reforms affecting healthcare regulation, institutions and administration. Proposed measures include expanding the role of the National Health Insurance Fund, establishing a healthcare quality assurance agency, separating pharmaceutical and public health authorities, and granting hospitals greater professional and financial autonomy.
Additional plans include reforms to primary healthcare services through new Health and Social Centres, the creation of a National Institute for Primary Care and Methodology, and investments in hospital infrastructure, including new elective surgery centres.
The ministerial restructuring represents one of the first major administrative reforms introduced by Hungary’s new government and is expected to influence regulatory processes across several sectors.
Source: CMS
