Hungary can learn from Korea's state-led economic growth model, expert says
Korea's state-led economic development model offers important lessons for Hungary, which has relied heavily on foreign direct investment (FDI) to drive economic growth, according to a Hungarian expert. Zoltan Pogatsa, a professor at the University of Sopron in Hungary, made the remarks during a seminar titled "Hungary's Economic Strategy: Lessons from Korea's Development Experience," held at…
Hungary can gain valuable insights from Korea's state-led economic growth model, according to a Hungarian expert. Zoltan Pogatsa, a professor at the University of Sopron, shared this perspective during a seminar in Seoul. He pointed out that Hungary's growth has largely been fueled by foreign direct investment (FDI) since gaining independence following the fall of Soviet control. In contrast, Korea adopted a state-led approach, even accumulating significant debt to bolster domestic enterprises.
Pogatsa explained that the FDI strategy Hungary has employed has restricted its capacity to create globally competitive homegrown brands and manage its supply chains. On the other hand, Korea's substantial government support for local firms enabled the nation to cultivate internationally recognized brands like Samsung and Hyundai.
Written by urgent.news from The Korea Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
