KSH: Deficit 3.8% of GDP, highest level in 18 months


Hungary's general government deficit came to HUF 272.5 bln, which is 3.8% of GDP, in Q2, preliminary data released by the Central Statistics Office (KSH) revealed today. The GDP was HUF 171.9 bln more than the deficit in the corresponding period of the previous year, with a gap of 2.7% of GDP in Q1, while the Q2 reading is the highest since 18 months ago, in Q1 2013.

The deficit, which was calculated according to the recently adopted revised European System of Accounts of the European Union (ESA2010), was the difference between general government revenue of HUF 3,611.6 bln and expenditures of HUF 3,884.1 bln.

Revenue saw a rise of 0.5% y.o.y. as revenue from tax on income rose 8.4%, social security contributions increased 7.5% and tax on production and imports climbed 3.7%.

Expenditures grew 5.2% as payroll costs rose 13.1%. Intermediate consumption increased 7.0% and spending on investments was up 5.7%. Spending on interest was down 14.5% and social security transfers, in cash, fell 2.5%.

The government targets a general government deficit of 2.9% of GDP this year. For the first half of the year, the general government deficit reached HUF 467.4 bln or 3.2% of GDP. Revenue rose 3.6% from the same period a year earlier and expenditures climbed 4.5%.


POPIHN Raises Forecast for Fuel Consumption Energy Trade

POPIHN Raises Forecast for Fuel Consumption

Hungarian Lawmakers Ratify Finland's NATO Accession Parliament

Hungarian Lawmakers Ratify Finland's NATO Accession

Nolato Partners With Happy at Work HR

Nolato Partners With Happy at Work

Sümeg Castle Reopens History

Sümeg Castle Reopens


Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.