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Tag: inflation

Poll: Hungarian Public Perceives Inflation at 22%

Consumer prices rose 9.5% in April compared to the same time last year, according to official inflation data from the Central Statistical Office. However, in a poll of 1,000 households conducted by GKI Economic Research, Hungarians perceived a 22% price increase, the research institute stated.

The researchers noted that the public’s “perception” is not based on facts but rather on perception, which could be strongly influenced by recent events.

Over the past four years, the difference between official inflation and polling-based perceived inflation has been over 11% per month on average and continues to increase, writes GKI. [444]

Orbán Signs Decree on Increasing Monthly Pensions

Viktor Orbán signed a decree that he says the government adopted in yesterday’s session on increasing monthly pensions, the Prime Minister said in a Facebook video.

Orbán stated in the video that prices were rising because of the war, and because of that, inflation was growing. He claimed that the government would be protecting retirees with the measure.

On Wednesday, Minister Gergely Gulyás announced that in addition to the extra 5% pension increase at the start of the year, the government would now be increasing monthly pensions by a further 3.9%, meaning pensions will increase by a total of 8.9% for this year. [HVG]

Fidesz voters more worried about “gender lobby” than inflation

picture of meat at market

Hungarian voters consider health care as the most serious problem facing the country, but many also voluntarily mention inflation and making ends meet, according to the results of a Závecz Research poll commissioned by 24.hu.

But if “gender lobby” is included among the possible options to choose from, Fidesz voters will rank it second behind “immigration,” despite the fact that only rarely did anyone voluntarily mention the main issue addressed in the government’s referendum.

An important caveat to the results is that data collection for the representative survey concluded on February 23, the day before war broke out between Ukraine and Russia.

Voters for the united opposition list viewed health care and corruption as the most serious problems in the country, but these were also closely followed by inflation and, to a lesser extent, low wages and pension benefits. Voters for other party lists and those who don’t identify with a party likewise ranked all other issues ahead of the gender lobby.

The same poll also asked respondents how they felt about how the pandemic was managed, revealing that more people were satisfied with the government’s efforts in this area than those who were not.

Regarding the two main candidates for prime minister, Hungarian voters viewed opposition leader Péter Márki-Zay less corrupt than current Prime Minister Viktor Orbán.

The poll was conducted between February 17-23 through telephone interviews with a 1,000-person sample, representing the electoral population of the country in terms of age, gender, education, and location. The variation between the poll results and the presumed results of polling the entire country was estimated at no more than 3.2%.

[Telex]

Pensions may go up again this year if inflation is high

picture of retirees and money

An extraordinary pension increase may take place this year if the economic or political situation requires it, as evidenced by the extraordinary supplementary pension increase in June 2021, says pension expert András Farkas in Napi.hu.

Prime Minister Viktor Orbán announced last month in Parliament that pensions would increase by 5% from January 1, 2022. In addition to this, around two dozen other social welfare benefits also went up.

According to his analysis on NyugdíjGuru, Farkas estimates if the rate of annual inflation estimated from actual inflation data measured in January-August 2022 exceeds 5%, then some type of pension increase could be expected in November 2022.

Further extraordinary increases in the course of the year may also take place if the economic or political situation so requires, the pension expert said.

[Magyar Hang]

Hungarians say gov’t the main reason for higher inflation

picture of Budapest Market Hall

Everyday consumer goods such as groceries and cleaning products have become much more expensive recently in Hungary, say 86% of Hungarians surveyed in a new poll on inflation commissioned by Népszava.

This includes 100% of opposition supporters and 74% of those sympathetic to the government, according to the Publicus Institute poll. But a quarter of Fidesz voters only noticed slightly higher prices, while 1% of them did not notice any change at all.

As for who or what was responsible for these high prices, the most common answer was the government, cited by 32%, or two-thirds of the opposition and one-seventh of pro-government supporters when broken down by political affiliation.

Global economic trends were named by 28% as the reason for high prices, while 8% said it was because of the pandemic. Notably, 8% of Fidesz voters blamed George Soros, the EU, former Prime Minister Ferenc Gyurcsány and the opposition for high inflation.

In addition, 80% of those polled said they now examine the cost of individual products much more than they did a few years ago. This was true for 70% of government supporters and 87% of the opposition. More than three-quarters of people are much more likely to keep an eye out for discounted products or sales compared to last year or the year before.

[Magyar Hang]

Inflation to be around 5% this year and next, says Matolcsy

picture of György Matolcsy

The Hungarian National Bank (MNB) expects inflation to be around 5% this year and next, with a forecasted range of 4.7-5.1% for 2022, said György Matolcsy to business site Portfolio.

Matolcsy said that while inflation ended up being close to their desired rate of 3% in 2020, this will not be true for 2021, and likely not for 2022 either.

According to the governor of Hungary’s central bank, the rise in inflation is a global phenomenon caused by the coronavirus and the narrow recovery period, but it is a high price to pay for the world economy to get on its feet again.

Inflation is everyone’s public enemy, especially central banks

-said the MNB Governor.

The latest inflation report by the MNB is expected on December 14.

[24.hu]

Inflation in Hungary is third-highest in EU

picture of Hungarian money

The average annual inflation in the countries of the European Union was 4.4% in October, and within that the average price increase in the countries of the Eurozone was 4.1%. A month earlier, the EU average was 3.4%, up from 0.3% a year earlier, according to data released by Eurostat today.

Malta had the lowest annual inflation in October (1.4%), followed by Portugal (1.8%) and Finland and Greece (2.8%). Inflation was highest in Lithuania (8.2%), followed by Estonia (6.8%) and then Hungary (6.6%).

The G7 writes that although Hungarian household consumers do not directly perceive an increase in energy prices due to the government’s utility reduction scheme, industrial consumers are not protected by this, and so soaring costs are reflected in consumer prices.

According to the latest data from the Central Statistical Office, prices rose in Hungary by 6.5% in October. Since then, the government has capped the price of regular fuel per liter at 480 Ft. (US $1.50).

[444]