Drivers license - driving in Hungary

Drivers must have a valid driving license and be 17 years old or older.
Anyone living in Hungary longer than one year must naturalize their foreign license to a Hungarian license in order to remain on the road. During that one year, an official Hungarian translation of the driving license must be carried along with the license in case the license was issued by a country that is not a signatory of the 1968 Vienna Convention on Road Traffic.

The Vienna Convention is an international treaty designed to facilitate international road traffic and safety by establishing standard rules of the road.
Persons holding a license issued by any country in the Convention may exchange theirs for a Hungarian driver’s license without the exam requirement, but any persons holding a license outside the Convention are required to pass the Hungarian driving test.
Vienna Convention

In some cases, even if the license comes from a country outside of the Vienna Convention (but part of the Geneva Convention), the applicant may bypass the exams by having an International Driver's Licence. (A US license with an AAA international driver license).

The Geneva Convention on Road Traffic (1949)

“1. Each Contracting State shall allow any driver admitted to its territory who fulfills the conditions which are set out in Annex 8 and who holds a valid driving permit issued to him, after he has given proof of his competence, by the competent authority of another Contracting State or subdivision thereof, or by an Association duly empowered by such authority, to drive on its roads without further examination motor vehicles of the category or categories defined in Annexes 9 and 10 for which the permit has been issued.
2. A Contracting State may however require that any driver admitted to its territory shall carry an international driving permit conforming to the model contained in Annex 10, especially in the case of a driver coming from a country where a domestic driving permit is not required or where the domestic permit issued to him does not conform to the model contained in Annex 9.
3. The international driving permit shall, after the driver has given proof of his competence, be delivered by the competent authority of a Contracting State or subdivision thereof, or by a duly authorized Association, and sealed or stamped by such authority or Association. The holder shall be entitled to drive in all Contracting States without further examination motor vehicles coming within the categories for which the permit has been issued.”