The report sees the general government deficit narrowing to 3.2% of GDP by 2009, unchanged from the target in the updated convergence program submitted to Brussels last November. It puts Hungary’s state debt at 65.6% of GDP in 2010, up from the 63.3% target in the updated convergence program.
The report projects GDP growth of 2.4% in 2008 and 3.9% in 2009, down from 2.8% and 4.0%, respectively, in the November convergence program. The report shows an inflation target of 6% 2008 and 3.6% in 2009, up from 4.8% and 3.0%, respectively, in the updated convergence program. The report sees domestic consumption expanding 1.6% in 2009 after a small contraction in 2007. It puts investment growth at 4% in 2008 and 7% in 2009. (MTI-Econews)
