Officials from ride-sharing app Uber say the company will suspend its operations in Hungary indefinitely from July 24, when new rules regulating passenger transport are due to take effect.

Uber Hungary director Zoltan Fekete said Wednesday that the service had 160,000 users and 1,200 drivers in the country. Uber users registered in Hungary will still be able to use its app abroad.

Legislation passed in June allows authorities to suspend websites like Uber for up to a year if they continue to operate without the necessary permits after being fined. The laws were changed after pressure from taxi companies and drivers, who held numerous protests slowing traffic in downtown Budapest.

Uber began operating in Hungary in November 2014. The company says 40 percent of Uber users in Hungary were tourists.