In September 2020, Hungary released its National AI Strategy outlining a vision for AI development from 2020-2030. The strategy aims to strengthen Hungary's AI ecosystem across sectors like manufacturing, healthcare, and agriculture while initiating programmes to benefit citizens directly.
The strategy calls for creating an ethical framework for AI, including an AI code of conduct and an Artificial Intelligence Regulation and Ethics Knowledge Centre. The AI Coalition of Hungary, composed mainly of academics, is responsible for adapting EU ethical guidelines to the Hungarian context.
As an EU member state, Hungary is subject to GDPR regulations on data protection and algorithmic transparency. The National Authority for Data Protection and Freedom of Information (NAIH) enforces these rules.
In a recent case, NAIH imposed a record fine of €670,000 on a bank for using AI-based emotion recognition on customer service calls without proper consent or risk mitigation. The authority underlined the need for special attention to AI's privacy risks.
Despite adopting AI ethics guidelines, Hungary faces criticism over its human rights record and surveillance practices. Freedom House rates Hungary as only "partly free" due to the ruling party's consolidation of power over independent institutions.
A project deploying 35,000 facial recognition cameras across Hungary has raised alarm. Additionally, investigations revealed the government's use of Pegasus spyware to target journalists and opposition figures, though authorities claim it was used lawfully.
Hungary's AI strategy maintains public engagement, including an internet platform to educate citizens on AI developments. The government aims to train 100,000 people in AI fundamentals and raise awareness among 1 million people through exhibitions and online content.
In November 2023, the government invited public feedback on a draft "Digital Citizenship Law" to enable digital identification for state and market services.
While Hungary has made strides in developing AI policies and ethical guidelines, significant concerns remain about the government's commitment to democratic values and human rights in AI implementation. The country's ability to balance AI innovation with robust safeguards and independent oversight will be crucial as it moves forward with its national strategy.
This country report is our interpretation and summary of the "CAIDP Artificial Intelligence & Democratic Values Index 2023". The full report can be found here - https://www.caidp.org/reports/aidv-2023/