Forecasts say inflation will drop to 4.5% - Hungary

MNB

In a joint prognosis, GKI Economic Research Zrt and Erste Bank Nyrt forecast that economic growth will be slower in 2007 than a year ago, but it will surpass the level projected by the government.

Inflation will be 7% on an annual average, but it will drop to 4.5% by the end of the year. While nominal gross wages grew by 7.4% during the first five months, GKI Economic Research Zrt and Erste expect a 4.5% real wage decrease by the end of the year. Although the rate of unemployment was on a steady decline so far, more people are expected to be out of work by the end of 2007. According to the joint prognosis, the central bank’s benchmark interest rate will drop to 6.5% by the end of the year, while the Hungarian currency will remain permanently strong. However, the budget deficit will remain high, with a forecast of 6.2% of the GDP. (Magyar Hirlap)

ADVERTISEMENT

Almost half of Hungarians get fringe benefits, survey shows Analysis

Almost half of Hungarians get fringe benefits, survey shows

19,000 young jobseekers hired in expanded subsidy program Government

19,000 young jobseekers hired in expanded subsidy program

Manager screenings - not just for managers Interview

Manager screenings - not just for managers

Zsa Zsa Gabor's ashes buried in Budapest City

Zsa Zsa Gabor's ashes buried in Budapest

SUPPORT THE BUDAPEST BUSINESS JOURNAL

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.