Based on the facts that financial intermediary system has crucial impacts on national
economic growth, territorial cohesion and local economic development as well, financial
instruments and their intermediary institutions could play a greater role in territorial
development. This paper aims to give a brief overview about the financial instruments’
role in development policy in the EU and in Hungary, to highlight the special features
of the Hungarian delivery system (2007–2013), and to identify the risks and challenges
on local economic development in the current development period (2014–2020). The background
research was based on the analyses of the Hungarian strategic development policy documents
(Partnership Agreement, operational programmes) and the activity data of the institutional
system, which managed the repayable funds between 2007–2013.
