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Baranya County’s range of support measures: what funding can a new business expect?

Ön jelenleg itt van:Invest In Baranya>Blog>Kategória nélküli>Baranya County’s range of support measures: what funding can a new business expect?
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New businesses setting up in Baranya today can count on a wide variety of complementary forms of support, including: national grants, individual government incentives, county TOP Plus funds, employment programs, and tax breaks. The summary below reflects the situation as of fall 2025.

1. National Business Development Grants – GINOP Plus

For companies setting up operations in Baranya, the most important EU funding source is GINOP Plus (Economic Development and Innovation Operational Program Plus), which manages approximately 30% of the total domestic EU budget for the 2021–2027 cycle, specifically for business development, R&D, and labor market objectives.

Major destinations accessible from Baranya:

  • SME investment and development (e.g., calls for proposals of the GINOP_PLUSZ-1.2.1-21 type)
    • technology development, capacity expansion, purchase of machinery and equipment
    • site and infrastructure developments
    • Typical aid intensity: up to 70%; the amount of aid can range from 10 to 629 million HUF, depending on the terms of the specific call for proposals.
  • R&D and Innovation Projects
    • development of new products, technologies, and services
    • Support for intellectual property, patents, and prototypes
    • typically higher intensity, but with stricter professional requirements.
  • Labor Market and Training Programs
    • helping young people and those just starting their careers find employment
    • Support for corporate training programs
    • promoting cooperation between vocational training and higher education.

Depending on the industry, size, and location, a newly established business can generally combine investment grants (for machinery, facilities, and digitalization) with human resource development (training and labor market programs).

Important: The eligibility criteria, budget, and terms of specific calls for proposals are subject to change, so you should always check the current announcements on the official application portal (palyazat.gov.hu).

2. Specific government investment grants (HIPA, VIP, training and R&D incentives)

For larger-scale investments—typically worth several billion forints—subsidies based on specific government decisions come into play; in Hungary, these are coordinated by HIPA (Hungarian Investment Promotion Agency).

2.1. VIP Cash Grant (special government decision)

The government is incentivizing high-value, strategically important investments through VIP cash grants. In 2025, changes to the system will shift the focus specifically toward projects that generate high added value, are environmentally friendly, and strengthen cooperation with suppliers.

General characteristics:

  • funding for large-scale investments (typically worth tens of millions of euros)
  • Objective: To attract technologically advanced, export-oriented, high-value-added activities to Hungary
  • The decision is the result of individual negotiations (HIPA + the government), so it could play a key role for large companies setting up operations in Baranya.

2.2. HIPA Training Grant

The government also provides national training subsidies to companies that establish or expand a business service center in Hungary or make an investment of at least 5 million euros.

Key parameters (order of magnitude):

  • Aid intensity: up to 50% of training costs
  • Grant per participant: up to 5,000 euros
  • Total funding for a project: up to 2 million euros.

This can be particularly important when launching a new plant or service center in Baranya, where a large workforce needs to be trained in a short period of time.

2.3. R&D Investment Incentives

Under the HIPA scheme, the maximum grant amount for R&D investments has increased from 15 million to 25 million euros, with a grant intensity of up to 50% in some cases, depending on the depth of the research activities.

For a development center, engineering firm, or technology hub setting up operations in Baranya, these subsidies are a major draw.

3. Baranya’s TOP Plus Resources – Industrial Zones, Infrastructure, and an Investment-Friendly Environment

Baranya County has a regional budget of approximately 92 billion forints for the 2021–2027 cycle under the TOP Plus program. A significant portion of this is allocated to economic development infrastructure, industrial zones, and transportation and urban development projects.

Among the key components of the Integrated Territorial Program (ITP), the following are of particular importance to a company relocating to the area:

  • Industrial Zone and Industrial Park Developments
    • Development of new or expanding industrial parks, including utility infrastructure
    • development of the internal road network, energy, and telecommunications infrastructure
    • redevelopment of brownfield sites.
  • Targeted Development of Economic Zones
    • Pécs–Mohács Growth Center Region
    • tourism development zone
    • disadvantaged regions in the west and south that are eligible for reduced aid intensities (Szigetvár, Sellye, Siklós, Ormánság).
  • Operating
    an Investment Promotion Agency The county investment promotion agency is responsible for supporting investments, connecting businesses with local governments, and facilitating access to funding.

These funds typically do not come directly from the company itself, but rather from development projects carried out by municipal and county partners that directly improve the environment for the incoming business (accessibility of industrial sites, quality of infrastructure, warehouse rental options, etc.).

4. County Employment and Labor Market Subsidies – “Baranya Helps”

Baranya County is implementing the TOP_PLUSZ-3.1.1-21-BA1-2022-00001 “Baranya Helps – Cooperation for Employment Development, which is specifically designed to connect employers and job seekers.

As part of the program, companies relocating to Baranya have access to, among other things:

  • Wage subsidy
    • can be applied for through the district office of the county government
    • Wage subsidies of up to 100% may be provided for up to 6 months to support the employment of certain target groups
    • typically with a 3-month obligation to continue employment.
  • Employment Services
    • recruitment, pre-screening, career guidance
    • individual and group counseling, mentoring
    • Cooperation with local educational institutions. (Baranya)
  • Training and Mobility Grants
    • Support for corporate training (skills development, retraining)
    • travel/commuting allowance for new employees
    • funding to support entrepreneurship (self-employment, spin-off companies).

The program’s specific goal is to make it easier for employers coming to Baranya to find and train local workers, particularly in disadvantaged areas.

5. Tax Incentives and Free Enterprise Zones in Baranya

Numerous municipalities in Baranya County are designated as free enterprise zones (SZVZ) under the Government Decree; the list of these is set forth in national legislation (Government Decree No. 27/2013 (II. 12.)).

For a new investment, this can offer advantages on several levels:

5.1. Research and Development Tax Credit (TAO)

For investments defined under the Corporate Income Tax Act—particularly in SZVZ zones—a development tax credit is available, which can significantly reduce the corporate income tax liability for several years.

According to the 2025 methodological guidelines, the development tax credit may be claimed, for example:

  • For investments with a present value of at least 100 million HUF carried out under the SZVZ
  • as well as certain strategic investments that support the green transition.

5.2. Accelerated depreciation, de minimis benefits

The NAV’s 2024 information booklet highlights that the purchase price of tangible assets put into service under the SZVZ program is fully deductible as an expense, and part of the investment may qualify as de minimis or block exemption aid.

This may be particularly appealing for equipment-intensive but smaller-scale investments (e.g., the purchase of machinery in an SZVZ municipality in Baranya County).

5.3. Social contribution tax credits, local taxes

Companies operating within the SZVZ may be eligible for a social contribution tax credit under certain conditions, as provided by law, and:

  • local business tax credit
  • Property tax / building tax credits or exemptions
  • reduced land price, infrastructure contribution.

The extent of these requirements is determined by the local governments concerned; therefore, targeted consultation with the chosen municipality is a key step in preparing for relocation.

6. Industrial parks, free enterprise zones, and warehouse programs in Baranya

A study conducted in 2024 (source: PBKIK) provides a detailed overview of Baranya County’s free enterprise zones and industrial parks, with a special focus on the industrial zones and available capacity in Pécs, Komló, Mohács, Bóly, Szigetvár, and Siklós, as well as available capacity.

In the county, a new investor can realistically expect the following:

  • Industrial sites with utility connections and expansion potential (M6 Motorway, Route 6, Croatian border, future impact of the Mohács Danube Bridge)
  • Municipal or industrial park warehouse programs, long-term lease arrangements
  • The favorable tax environment in municipalities with SZVZ status, and grant programs offering higher funding rates.

7. Professional support: investment promotion and partnerships

Based on county and municipal strategic documents, Baranya’s goal is to become a regional growth hub; part of this involves operating an investment promotion agency and the county employment and economic development partnership (“Baranya Helps”).

A new business can expect that:

  • receive assistance in selecting a suitable location (industrial park, special economic zone, logistics considerations),
  • help identify grant and funding opportunities (GINOP Plus, TOP Plus, HIPA, tax breaks),
  • They collaborate with the University of Pécs, vocational training centers, and professional associations to ensure that the necessary workforce and training programs are available.

In summary

Today, businesses setting up operations in Baranya County can access support on several levels:

  1. National grant funds (GINOP Plus – investment, R&D, training).
  2. Special government incentives (VIP cash grants, training and R&D grants through HIPA).
  3. County-level TOP Plus developments that create industrial zones, infrastructure, and an investment-friendly environment.
  4. Employment programs and wage subsidies (TOP_PLUSZ-3.1.1 “Baranya Helps”).
  5. Tax incentives and free enterprise zones in several municipalities in Baranya County.
  6. Professional support and partnership that guides you every step of the way, from project preparation to workforce recruitment.
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