MFB Hungarian Development Bank
Hungarian Development Bank, Hungary
general information
MFB Hungarian Development Bank (MFB or Bank) is a specialised financial institution established in 1991 and governed by the MFB Act of 2001, with the mandate of providing funds for Hungary’s medium and long-term economic development.
MFB is 100%-owned by the Hungarian State, whose rights are exercised by the Minister for Economic Development. MFB’s lending and investment operations are shaped by its development role as well as its mission related to supporting the Government’s development strategy and investment priorities. While mandated to support public policy strategic goals, MFB applies private sector lending and risk management practices, striking a balance between profitability and development objectives.
MFB as the body implementing the fund of funds has been playing a key role in the distribution of EU funds in the 2014-2020 programming period. In this context, the Bank has been appointed by the Government as the body implementing the holding fund for the 2021-2027 programming period.
MFB operates as an important actor in providing long-term financing to certain Hungarian borrowers, whether through direct lending activities or by refinancing commercial banks’ loans.
MFB’s main strategic objective is to contribute to the development of the Hungarian economy.
activities
MFB performs its objectives set out in the legislative framework and its strategy through the following activities:
- Distribution of EU funds through financial instruments: (combined) loan and venture capital programmes;
- Lending: direct and on-lending (via Group members as well);
- Equity financing (via Group members);
- Guarantees
- Student loans (via a Group member);
- Claim work-out activities (via a Group member).
strategy
- Becoming an active driver of economic goals in Hungary;
- Emphasising strategically important economic sectors;
- Providing loan, equity and guarantee, with tailor-made financial advisory services;
- Providing additional, development-type financing for the Hungarian economy;
- Distribution of EU funds as the body implementing the fund of funds and the holding fund;
- Participation in centralised EU programmes;
- Powerful relations with international institutions and participation in various means of international cooperation.
Contact
Mr. Csaba Harsányi – Director, Brussels Representative Office
1000 Brussels, Belgium
Web: http://www.mfb.hu/en/who-we-are/brussels-representation-s2471
