Budapest is in Europe.
Budapest ( [ ˈbudɒpɛʃt ] ) is the capital and most populous city of Hungary and one of the largest cities in the European Union . Budapest is a leading R&D and financial centre in Central and Eastern Europe , the city has a gross metropolitan product more than $ 100 billion in 2015 , thereby the city is among the Top 100 GDP performing cities in the world Budapest is cited as one of the most beautiful cities in Europe , ranked as the most liveable Central and Eastern European city on EIU 's quality of life index , ranked as `` the world 's second best city '' by Condé Nast Traveler , and `` Europe 's 7th most idyllic place to live '' by Forbes .