• Home
• Channel: Finance
• Hungary Q2 GDP Climbs 4.9%

Hungary Q2 GDP Climbs 4.9%

• 1 Sep 2019 7:20 AM
• Hungary Matters

Hungary’s second-quarter GDP rose by 4.9% year-on-year, the Central Statistical Office (KSH) confirmed in a second reading of data.

Hungary’s second-quarter GDP rose by 4.9% year-on-year, the Central Statistical Office (KSH) confirmed in a second reading of data. On the production side, value added in the industrial sector rose by 3.8% during the period.

Within the sector, manufacturing expanded by 3.1%. Growth in the construction sector reached 27.9%. The farm sector contracted by 1.1%. The service sector expanded by 4.2%, as the retail and wholesale trade, commercial accommodations and catering segment grew by 7.5% and the infocommunications segment grew by 5.9%.

Professional, scientific, technical and administrative activities increased by 6.5%. KSH said services contributed 2.2 percentage points to headline growth, while the construction sector added 1.2 percentage points and the industrial sector 0.9 of a percentage point.

On the expenditure side, household final consumption increased by 4.5%. Gross fixed capital formation jumped 16.4%. Export volume rose by 2.7% and import volume was up by 4.3%.

KSH said actual final consumption contributed 2.7 percentage points to headline growth and gross capital formation 3.4 percentage points. The trade balance slowed headline growth by 1.2 percentage points. Headline GDP growth slowed from 5.3% in the previous quarter.

Adjusted for calendar year effects, GDP growth reached 5.1% year-on-year in Q2, down from 5.3% in Q1. Reconciled data, adjusted for seasonal and calendar year effects, show GDP climbed 5.2% year-on-year in Q2, level with the rate in Q1.

In a quarter-on-quarter comparison, GDP growth was 1.1% in Q2, slowing from 1.4% in Q1, adjusted for seasonal and calendar year effects.

K&H Bank chief analyst Dávid Németh augured full-year growth of 4.3%, saying that the slowdown on global markets does not bode well for Hungary’s industrial sector.

ING Bank senior analyst Péter Virovácz put growth for the full year at 4.7%, slowing as unfavourable external conditions catch up with Hungary.

• How does this content make you feel?
• I love it
• I like it
• I dislike it

• GDP

XpatLoop Media Partner

Hungary Matters

Launched in January 2014, this newsletter published on week days covers 'everything you need to know about what’s going on in Hungary and beyond', according to its publisher the state media agency MTI.

Explore More Reports

Consumer Price Index Inches Up in Hungary - Basic Food Prices Up Steeply Again

• 13 Nov 2024 11:36 AM

Hungary's annualised consumer price index reached 3.2pc in October, inching up from 3.0pc in the previous month, data released by the Central Statistics Office (KSH) on Tuesday show.



High Savings Rate of Hungarian Households Well Over Average for Region

• 13 Nov 2024 7:18 AM

Hungarian households' high savings rate and net financial assets, well over the average for the region, are a "growth reserve" for the national economy, if they can be channeled to corporate financing, Barnabas Virag, a deputy governor at the National Bank of Hungary (NBH), said at a conference organised by the Budapest Stock Exchange.



GDP Falls in Hungary - Reasons for Weak Economic Performance Explained

• 1 Nov 2024 8:15 AM

Hungary's GDP contracted 0.7pc year-on-year in the third quarter, adjusted for seasonal and calendar year effects, a first reading of data released by the Central Statistics Office (KSH) on Wednesday shows.



Updated: NBH Sees Inflation Slowing Further in September in Hungary

• 27 Sep 2024 6:00 AM

August's 3.4pc CPI was in line with the National Bank of Hungary's expectations, and the central bank sees inflation falling to 3.1pc in September, Andras Balatoni, an NBH director said.