Government revenues for the first half of 2024 reached HUF 16.825 tln, while expenditures amounted to HUF 18.314 tln. Compared to the same period in 2023, revenues rose by HUF 1.295 tln, or 8.3%. The largest revenue increase came from social contributions, which surged by HUF 511 bln (14.1%). Revenues from taxes on production and income also grew significantly, up HUF 470 bln (7.4%) and HUF 462 bln (17.5%) respectively. However, other revenues saw a decline of HUF 149 bln (5.2%).
Expenditures in the first half of 2024 increased by HUF 615 bln, or 3.5%. Employee compensation grew by HUF 545 bln (15.4%), and social benefits excluding social transfers rose by HUF 462 bln (11.2%). Despite these increases, intermediate consumption fell by HUF 126 bln (4.1%), while gross fixed capital formation declined by HUF 80 bln (7%). Other general government expenses dropped by HUF 382 bln (9.2%).
The overall balance improved by HUF 681 bln, equivalent to a 2.2 percentage point reduction in the deficit as a proportion of GDP compared to the first half of 2023.
In the second quarter of 2024, revenues increased by HUF 570 bln, a 6.9% year-on-year rise, while expenditures climbed by HUF 471 bln, or 5.3%. The quarter’s deficit saw an improvement of HUF 100 bln, representing a 0.8 percentage point decrease compared to the same period last year.
In 2023, Hungary’s general government deficit was HUF 5,035 bln, accounting for 6.7% of GDP, according to the KSH’s second preliminary data. The country’s general government debt at the end of 2023 stood at HUF 55.142 tln, or 73.4% of GDP, based on figures from the National Bank of Hungary. The deficit and debt figures were reported to Eurostat in line with the European System of Accounts (ESA 2010) and the Excessive Deficit Procedure (EDP) regulations.
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