Hungary's GDP growth accelerates to 3.5% in Q1

Analysis

Hungary's unadjusted y. o. y. GDP growth accelerated to 3.5% in the first quarter from 2.7% in Q4, the Central Statistics Office (KSH) confirmed in a second reading of data published on Wednesday.

KSH revised the increase adjusted for calendar year effects to 3.5% from 3.4% in the first reading, published in mid-May. Seasonally- and calendar year-adjusted GDP growth was 3.2% y. o. y. and 1.1% quarter-on-quarter, KSH confirmed the data in the first reading.

The detailed data reveal that industry contributed 1.6 percentage points to growth, while services contributed 0.9 percentage point and the construction sector half a percentage point. On the utilization side, domestic utilization contributed 3.0 percentage points, with final consumption adding 1.5 percentage point and gross capital formation 1.6 percentage points. Net exports contributed half a percentage point.

Added value in the industrial sector climbed 6.7% during the period. Within the sector, the manufacturing segment has grown by 9.6%, having been boosted by automotive industry companies, KSH argued. Added value in the construction sector jumped 25.2%. It was up 1.5% in the service sector, lifted by a 4.0% increase in the delivery and logistics segment.

On the utilization side, actual household consumption increased 1.6% and public consumption climbed 3.5%. Gross fixed capital formation rose 13.3%. Domestic utilization was up 3.3%.

-- Christian Keszthelyi contributed to this article

Hungary Current Account has EUR 213 mln Deficit in January Debt

Hungary Current Account has EUR 213 mln Deficit in January

Budapest Residents to Weigh in on Rákosrendező Development P... Issues

Budapest Residents to Weigh in on Rákosrendező Development P...

AutoWallis Becomes Importer of Geely Group’s Commercial EV B... Automotive

AutoWallis Becomes Importer of Geely Group’s Commercial EV B...

These Are the Most Sleep-friendly Hotels in Hungary Hotels

These Are the Most Sleep-friendly Hotels in Hungary

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.