EC Raises Hungary 2019 GDP Growth Forecast To 4.6%

  • 8 Nov 2019 10:05 AM
  • Hungary Matters
EC Raises Hungary 2019 GDP Growth Forecast To 4.6%
The European Commission raised its projection for Hungary’s GDP growth this year to 4.6% from 4.4% in a quarterly forecast.

The government’s official projection for GDP growth this year is 4%, but Finance Minister Mihály Varga said earlier that higher-than-expected first-half growth of 5.1% could lift full-year growth to 4.3-4.4%. The EC left its forecast for next year’s GDP growth unchanged at 2.8%. It put GDP growth in 2021 at 2.8%.

The EC acknowledged in the autumn European Economic Forecast that Hungary had managed to withstand the global slowdown thanks to a domestic construction boom and a revival of the automotive industry, but it said support from these factors is “set to fade toward the end of 2019”.

The EC sees investment growth plunging from 17% in 2019 to 2.1% in 2020 and 2.6% in 2021. Public investment is set to fall after Hungary’s absorption of European Union funds peaked in 2019, but private investment its seen rising further as real estate projects already in the pipeline are completed and several big manufacturing sector investments are completed, it said.

  • How does this content make you feel?

XpatLoop Media Partner

Hungary Matters

Launched in January 2014, this twice-daily newsletter covers 'everything you need to know about what’s going on in Hungary and beyond', according to its publisher the state media agency MTI. Click the title above for more info, and to subscribe.

Explore More Reports

  • IMF Raises GDP Growth Forecast For Hungary

    IMF Raises GDP Growth Forecast For Hungary

    • 16 Oct 2019 6:41 AM

    The International Monetary Fund (IMF) raised its projection for Hungary’s GDP growth this year to 4.6% in its fresh World Economic Outlook. The projection was raised from 3.6% in the previous forecast released in April.

  • Hungary Q1 GDP Rises By 5.3%

    Hungary Q1 GDP Rises By 5.3%

    • 16 May 2019 6:05 PM

    Hungary’s first-quarter GDP grew by an annual 5.3%, the Central Statistical Office (KSH) said in a first reading of data.

  • EC Raises Hungary GDP Forecasts

    EC Raises Hungary GDP Forecasts

    • 9 May 2019 10:00 AM

    The European Commission raised its projection for Hungary’s GDP growth this year to 3.7% from 3.4% in its latest quarterly forecast.