Regulatory Reform in Hungary

After ten years of determined reform, Hungary has constructed the legal and policy frameworks consistent with market democracy, and is nearing completion of an historic economic transition. This challenging process required extensive regulation and institution building, as well as massive deregulation, and has generated significant economic benefits. Today, convergence with the EU and achievement of OECD best practices still represent daunting tasks. But in most areas, Hungary faces challenges much like those of other OECD countries in establishing the quality regulatory regimes needed to support good government and sustainable economic growth. Hungary s main objectives now are to bring market performance into line with its peers through strengthening competition and improving regulatory governance and social protections. Further reforms will bring important gains in creating jobs, improving sectoral and regional performance, and reducing the costs of public policies. Hungary is among several OECD countries to request a broad review by the OECD of its national regulatory practices and domestic regulatory reforms. This Review presents an integrated assessment of regulatory reform in framework areas such as the quality of the public sector, competition policy and enforcement, and market openness. It also contains chapters on sectors such as electricity and telecommunications, and an assessment of the macroeconomic context for reform. The policy recommendations present a balanced plan of action for both short and longer-term based on best international regulatory practices. In the same series: Regulatory Reform in Japan Regulatory Reform in the Netherlands Regulatory Reform in Mexico Regulatory Reform in the United States Regulatory Reform in Korea, Regulatory Reform in Spain Regulatory Reform in Denmark The general policy analysis which is the basis for these country reviews is presented in the OECD Report on Regulatory Reform: Synthesis, and the supporting two-volume OECD Report on Regulatory Reform: Sectoral and Thematic Studies, published in 1997.