New mechanisms are being established to allow private physicians, general practitioners to act as independent contractors to public health financing agencies. Private sector development has been important for ambulatory and diagnostic services, and negligible for hospital care. Healthcare in Hungary is suffering from structural imbalances. During the 4- year program the state is planning to buy increasingly sophisticated radiological and diagnostic equipment. Given that no Hungarian firm manufactures these products, the market is expanding for imports.
Private sector is very limited in Hungary.
The Ministry of Health owns only 18 national institutes and rehabilitation centers municipal governments own the majority of hospitals and clinics. The Hungarian healthcare system operates on the basis of dual financing. Major investments, equipment purchases are financed by the owner or co-financed with the Ministry of Health from the central budget. There are neither private hospitals nor private hospital management companies in Hungary.