Ecostat projects 3.8%-3.9% GDP growth this year
Wednesday, August 16, 2006, 17:07
Economic research firm Ecostat projects 3.8%-3.9% GDP growth in 2006 and an average consumer price index of 3.5%, according to the company's August report released on Wednesday.
Ecostat’s 2006 GDP projection was lowered from 4% in June and is below OTP Bank Nyrt's current projection of 4.1% announced on Tuesday.
Ecostat expects industrial production to continue growing at a faster rate, increasing 8% in 2006 compared to 7.3% in 2005. It projects household consumption will increase 2.1%, at the same rate as public consumption. Ecostat projects export growth of 15.7%, helped by a pickup in Europe's economies, and import growth of 12.6%.
It puts the trade deficit at €2.6 billion, down from €2.8 billion in 2005. According to Ecostat's current projection, inflation in 2006 will be 3.5% up from 3.3% projected in June. The central bank base rate is projected to rise from the current 6.75% to 7% by December this year, Ecostat said.