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The immigration rules of Hungary have been fundamentally rewritten at the end of 2023. The new legislation has created a more precise list of categories, under which a national that falls under immigration restrictions may permanently live in the country. Amongst others, the former catch all category “residence permit for other purposes” has been abolished, and instead the list of well-defined types of residence permits have been carved out. The new framework legislation has come into force on 1st January 2024. It was accepted, however, by the Parliament at the very last minute of 2023, therefore, the immigration authorities have been given some time to work out the detailed procedural rules that will aid the implementation of the main law. Consequently, the Immigration Authority’s offices have been closed for almost any applications until 29th February. Furthermore, it is expected, that applications under some of the new categories will only be accepted after 1st July this year. In the meantime, advisors are keep monitoring the news published about the practical aspects of future applications.

In year 2023, Hungary has been one of the top destinations for Russian citizens to invest in real estate in the European Union. Recently proposed legislative changes to the country`s immigration laws suggest that this trend will only intensify in the future. A new Hungarian Residence by Investment Program has been announced to start in 2024. Under the scheme, so-called Guest Investors can apply for visa what would be valid for 2 years, and subsequently a residence permit may be obtained that will be valid for 10 years, with the option to extend by another 10 years.

Anyone who has been involved in any form of international business activity, tried to open a personal or corporate bank account, or to buy real estate, purchase a boat, even a higher value car or jewellery, has surely faced the question: prove the source of the funds you wish to use, please. To some, this still may seem, however, an „indiscreet” question. How is it anybody’s business, how I have made my money?!

Every day the banking market offers more and more products. Alongside traditional banks (using which, unfortunately, is very difficult if a business has links with currently sanctioned jurisdictions), the increasing attention is being given to the instruments that are better adapted to the present-day international business environment – offshore banks and payment systems. One of the common compromises that have to be made when working with such banking institutions is an indirect IBAN. But is it really that critical? Are there ways to deal with this drawback? And what is an indirect IBAN in the first place? We answer these questions in the article below.