This is a rare working breed, thought to be either a Hungarian variety of the ancient Voivodjanski Pulin or a result of crossing the Croatian Sheepdog with the Hungarian Puli and Pumi herding dogs in the 19th century, although some believe it to had been established much earlier from various German breeds of the spitz type. It was finally recognized as a separate breed in the 1930's and has been bred true to type ever since. The Hungarian Mudi is an impressive and versatile worker, used for many duties in its homeland, such as herding and guarding livestock, protecting farms, as well as hunting a variety of game, from weasels to wild boars. It is still fairly unknown outside Hungary and the Balkans, but is slowly gaining acceptance in some western countries.

Energetic and intelligent, this rugged sheepdog responds well to obedience training, but can sometimes be stubborn and too noisy for urban environments. When socialized properly, the Mudi makes an excellent family pet, although it still needs supervision around other dogs and small animals. Deep-chested, muscular and agile, this is a healthy and long-lived breed, very similar to the Croatian Sheepdog. The ears are erect and the head is somewhat fox-like in features. Docking of the tail was common int the past, but nowadays the Hungarian Mudi is most often seen with a natural tail.

The coat is flat on the legs and face, but wavy or curly on the body, most commonly seen in uniform black or salt-n-pepper shades, but also found in white, fawn, merle, brindle, blue, grey, brown and black-n-white colourings. Average height is around 16 inches, although taller dogs exist.