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Tag: GDP

GDP Grows By 6.5% in Second Quarter

Hungary’s gross domestic product (GDP) increased by 6.5% in the second quarter compared to the same period in the previous year, while it increased by 1.1% compared to the previous quarter, the Central Statistical Office (KSH) reported on Wednesday based on early estimates.

Analysts had expected lower annual GDP growth of 6.1%, and 0.4% compared to the previous quarter.

Economic performance was 7.3% higher in the first half of the year compared to the same period last year, said KSH. Manufacturing and services were the largest contributors to the growth in the economy.

There are three reasons for Hungary’s high growth, according to HVG: higher spending in the second quarter of the year because of government handouts before the April election; the war in Ukraine has increased prices but has not slowed down manufacturing; and a reversion to the mean after the Covid shutdown in the first half of 2021, primarily in the service sector, which the current numbers are compared to. [Magyar Hang]

Hungary’s GDP Grew by 7.1% in 2021

picture of economic chart

Hungary’s gross domestic product (GDP) grew by 7.1% in 2021 compared to the previous year, the Central Statistical Office (KSH) said on Tuesday. Raw data, unadjusted for seasonal and calendar effects, show an even larger increase of 7.2%.

In the last quarter of the year, growth was 2.1% on a quarterly basis. KSH attributes most of this growth to the service sector.

Compared to 2019, the last year before the pandemic, Hungary’s economic growth increased by 2.1%, official statistics show. [Telex]

Hungarian Economy Expected to Grow 6.8% This Year

picture of Mihály Varga

The Hungarian economy was one of the fastest to recover in Europe, surpassing pre-epidemic levels by the middle of the year, said Minister of Finance Mihály Varga (pictured) at the annual hearing of the Economic Affairs Committee on Monday. GDP growth is expected to be at 6.8% this year and over 5% next year, stated the minister.

Varga emphasized that the budget had remained stable during the crisis and the recovery. Unlike 2008, he said, the IMF did not have to be called in to bail Hungary out, even though the current crisis was more severe worldwide than it had been more than ten years ago.

While the world economy contracted by 1.7% in 2008-2009, the rate of recession was 3.6% in 2020-2021

-added Finance Minister Mihály Varga.