The analyst estimates the Hungarian construction industry to grow in real terms by 3.6% in 2026, supported by an increase in construction activity, coupled with the government’s allocation under the latest 2026 Budget. Hungary’s parliament approved the 2026 State Budget in June 2025, with steep tax cuts for families and wage hikes. In the 2026 Budget, HUF5.1 trillion ($14.3 billion) has been allocated for economic development, which is expected to boost purchasing power, affordable housing, and small business growth through the Demján Sándor Program. The Hungarian renewable energy market is, however, facing a challenging situation as solar panels and battery storage systems are expected to become significantly more expensive as China eliminated VAT export rebates on solar panels, which is expected to increase project costs in the country.
The analyst expects the construction industry in Hungary to register an annual average growth of 5% between 2027 and 2030, supported by public and private sector investments in transport, renewable energy, and housing infrastructure projects. In February 2026, the Tisza party, a Hungarian political party, announced plans to expand the utility price-cut scheme; provide affordable clean energy for households and businesses; and renovate 100,000 homes annually by 2040. To achieve this, it plans to announce measures such as reducing VAT on firewood and introducing energy-efficiency subsidies. Proposals announced as part of the housing sector include a plan to launch social and market-based rental housing, launch a housing cooperative initiative, and construct 10,000 new rental units. The party also revealed plans to review the 35-year road concession contract, awarded to a consortium led by the Hungarian businessman Lorinc Meszaros. The infrastructure program also includes a major upgrade to the railway sector. The party further aims to review the Paks 2 nuclear power plant project, and double the share of renewables by 2040, with energy storage capacity expanding. Overall, the program will significantly boost the construction activity, particularly in housing and green infrastructure, creating strong growth opportunities and driving expansion across the country.
The analyst expects the construction industry in Hungary to register an annual average growth of 5% between 2027 and 2030, supported by public and private sector investments in transport, renewable energy, and housing infrastructure projects. In February 2026, the Tisza party, a Hungarian political party, announced plans to expand the utility price-cut scheme; provide affordable clean energy for households and businesses; and renovate 100,000 homes annually by 2040. To achieve this, it plans to announce measures such as reducing VAT on firewood and introducing energy-efficiency subsidies. Proposals announced as part of the housing sector include a plan to launch social and market-based rental housing, launch a housing cooperative initiative, and construct 10,000 new rental units. The party also revealed plans to review the 35-year road concession contract, awarded to a consortium led by the Hungarian businessman Lorinc Meszaros. The infrastructure program also includes a major upgrade to the railway sector. The party further aims to review the Paks 2 nuclear power plant project, and double the share of renewables by 2040, with energy storage capacity expanding. Overall, the program will significantly boost the construction activity, particularly in housing and green infrastructure, creating strong growth opportunities and driving expansion across the country.
The Construction in Hungary - Key Trends and Opportunities to 2030 (H1 2026) report provides detailed market analysis, information, and insights into the Hungarian construction industry, including:
- The Hungarian construction industry's growth prospects by market, project type and construction activity
- Critical insight into the impact of industry trends and issues, as well as an analysis of key risks and opportunities in the Hungarian construction industry
- Analysis of the mega-project pipeline, focusing on development stages and participants, in addition to listings of major projects in the pipeline.
Scope
This report provides a comprehensive analysis of the construction industry in Hungary. It provides:
- Historical (2021-2025) and forecast (2026-2030) valuations of the construction industry in Hungary, featuring details of key growth drivers.
- Segmentation by sector (commercial, industrial, infrastructure, energy and utilities, institutional and residential) and by sub-sector
- Analysis of the mega-project pipeline, including breakdowns by development stage across all sectors, and projected spending on projects in the existing pipeline.
- Listings of major projects, in addition to details of leading contractors and consultants
Reasons to Buy
- Identify and evaluate market opportunities using our standardized valuation and forecasting methodologies
- Assess market growth potential at a micro-level with over 600 time-series data forecasts
- Understand the latest industry and market trends
- Formulate and validate business strategies using the analyst's critical and actionable insight
- Assess business risks, including cost, regulatory and competitive pressures
- Evaluate competitive risk and success factors
Table of Contents
- Hot Topics Case Study: Innovating for Packaging Regulation
- Overview: Packaging Regulation
- Consumer Context
- Industry Innovation: Responding to Packaging Regulation
- Takeaways
- Appendix
