Hungarian pharmaceuticals market grew by 6.75% in 2009, reaching a value of $3.25 billion in 2009

Hungary's pharmaceutical market is calculated to have grown by 6.75% in local currency during 2009, reaching a value of 655.3 billion forint ($3.25 billion). Foreign currency fluctuations, however, resulted in the market shrinking by as much as 8.90% in US dollars, thus making it unattractive to foreign companies, according to Business Monitor International.

For 2010, BMI expects the upward local currency trend to continue, but at a lower rate of 4% in local currency terms, to 681.02 billion forint ($3.31 billion) as the new government is forced to rein in health care spending. Additionally, in 2010, the pharmaceutical expenditure budget is set to rise by just 0.68%, with a total of 345 billion forint apportioned to it.

However, a significant proportion of private spending on health still appears to be channelled through gratuities to doctors, thus falling outside the formal calculations. In 2009, Hungarian doctors received a combined 32 billion forint in gratuity payments in 2009, reported Vilggazdasg, quoting a survey by health care research institute GKI-EKI commissioned by insurance company AXA. The majority of Hungarians are still of the view they will be better attended if they pay a tip to doctors.