As of March 2023, 674 companies in Hungary were wholly or partially Russian-owned, with 97 of them founded after Russia invaded Ukraine, according to the Szabad Európa.

“The biggest change is that most people coming here from Russia want to relocate to the European Union. Not many wanted to stay here before – they did buy property, but Hungary was not their primary location,”

- said Alexey Morozov, managing director of Starimpex Hungary Kft, a company involved with start-up businesses serving Russian clients, EURACTIV’s partner Telex.hu reported.

“But this has now changed: those (Russians) who come here are 100% looking to develop here. What they have in common is that they do not want to be associated with the current political situation in any way, they are anti-war as far as the Ukrainian-Russian conflict is concerned,” he added.

A source in the start-up business revealed that it is becoming increasingly difficult to manage business finances from Russia, with some Russian banks not allowing international transfers at all, and others imposing limits of around €1,000, thus the need for a company in the EU is even greater.

But among the companies working in the EU, not all of them are only motivated by business interests and disapproval of Putin.

According to the source, a company called ITK System is developing IT encryptions with a licence from the Russian secret service and is owned by “a person who is obviously a secret service man.”

Radio Free Europe also wrote about the mysterious “research institute” IRIAS Hungary, which may be lobbying for involvement in the construction of Paks II (Hungary’s second nuclear power plant-TN).

Furthermore, another company called DGK Navigation Ltd is developing drones in Hungary and its owner is also active in Russia, with their company by the name of Gyronav, which develops and manufactures precision gyroscopes and navigation systems essential for drone operation.

So far, the Hungarian authorities have not commented on the issue.

Source: EURACTIV.com - republished with permission