Hungary central bank likely cut growth forecast, governor tells wire

Analysis

The national bank of Hungary MNB will most probably reduce its GDP growth forecast in its fresh Inflation Report, MNB governor András Simor said on Thursday.

"The next forecast, which will come out in September, will probably show poorer results for 2011, and probably also for 2012, as a direct consequence, among other things, of what is happening in Europe and particularly in the euro zone," Simor said in an interview with financial news service Bloomberg in Alpach.

Western Europe's slowing economy will hurt Hungary’s growth prospects for "the next couple of years,", he said.

The central bank governor noted that the Hungarian government now expects growth at around 2% this year, compared with a previous estimate of 3.1%.

The central bank, which in June forecast growth 2.6%c growth for this year and 2.7% for 2012, will also have to adjust its estimates, Simor said.

ADVERTISEMENT

289 new COVID cases registered in Hungary Figures

289 new COVID cases registered in Hungary

Opposition parties to begin PM candidate primaries Elections

Opposition parties to begin PM candidate primaries

Martina Cifer joins Avison Young Hungary Appointments

Martina Cifer joins Avison Young Hungary

BFK developing regional cycling strategy City

BFK developing regional cycling strategy

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.