Funding for social economy and social enterprises... in Hungary

Public funding

In Hungary the Sources of financing social enterprises comes from national co-financing (national employment foundation); Structural/Cohesive Funds (European Social Fund); own business resources.

In 2014-2020 Hungary is allocated around €21.9 billion for Cohesion Policy (ERDF,
ESF, Cohesion Fund) including €49.8 million for the Youth Employment Initiative and
€361.8 million for territorial cooperation.

The National Office for the Management of the Programmes of the European Social Fund (ESZA Kht.) operates under the supervision of the Ministry of Social Affairs and Labour and is responsible for the operational management of Hungarian and European Union employment programmes. As an intermediate body in the implementation of the Human Resource Development Operational Programme (HRDOP) the company has gained a substantial practical experience. It has also participated in the preparation of central adult education programmes and the monitoring of their implementation.

The National Public Employment Foundation (OFA) has been performing its tasks with a view to promoting employment and mitigating unemployment, in accordance with its Constitution. The focus of its grant mediation activities is determined by changes in the labour market and by employment policy measures designed to raise the employment level. As a commissioning organisation advertising calls for proposals it provides support for employment development initiatives and related events and publications with a special focus on promoting the employment and training of the employment disadvantaged and services directed at them. As a project generating agency, it pilots innovative complementary resources and methodologies in close cooperation with experts in the field while ensuring community participation. The grant schemes managed by OFA are primarily funded from domestic resources.

Its regional network offices (OFA NETWORK) offer services to potential bidders to its programmes free of charge. OFA completed the domestic implementation of the EQUAL Programme in 2008, the results of which are summarised in a separate publication. OFA is the implementer of several Structural Regional Operative Programme (SROP) projects such as the "Technical Assistance for Alternative Labour Market Projects" and SROP 1.4.1-07/2 priority project (PERTU); "Establishment of a System of Accreditation" SROP 2.6.1. priority project; "Support for Atypical Forms of Employment - Social Co-operatives" SROP 2.4.3./B/1-09/1 priority project (CoopeRationale Project).