Local government developments co-funded by the European Union in the South-Transdanubian Region

Abstract

Since Hungary's accession to the European Union, the country has gotten significant encouragement from the Community Cohesive Base regarding its economic situation. The aim of our research is to introduce and evaluate the developments of The National Development Plan and the New Hungary Development Plan in the South-Transdanubian Region. The South-Transdanubian Region placed fourth on the list of state of development in 2008, furthermore, on the basis of estimated spending power parity, the GDP index was not even fifty percent of the average Union value in 2005. According to numbers from 2004, 18 out of 24 areas were underprivileged. These are the areas with significant opportunities for development. Within the frame of the research we analysed the submitted and supported applications, the number of contracted applications, the engaged amount, the required they requested and the amount they were given by the local government, the initial payments and the payment support amount. In the course of the project we compared the data of the Transdanubian Region with that of Hungary generally. We analysed the intensity of the supporting rate and that apportionment in the Operational Program. The data source for the Reporting and Query Framework was the National Development Agency JELEK. We evaluated the application funds absorption capacity of the Southern Transdanubia Municipalties, the application use efficiency in the target areas. The improvements and their key characteristics, and compared their data with that of regions at similar levels of development. Keywords: municipalities, development, competition, fund absorption