The Budapest Municipal Assembly on Wednesday voted to abandon the city's bid to host the Olympic Games in 2024.
Budapest's attempt to stage the Games in seven years' time is now effectively over following significant local opposition to its candidacy.
The Hungarian Olympic Committee (HOC) will be asked to formally pull Budapest out of the running after in excess of 260,000 people signed a petition set up by the political movement Momentum in an attempt to trigger a referendum on the bid.
A motion has now been passed to withdraw Budapest's bid, leaving Paris and Los Angeles as the remaining candidates.
The International Olympic Committee will announce the venue for the Games in 2024 in September at an event in Lima, Peru.