Gov't puts 2022 GDP growth at 4.3%, budget gap at 4.9%
Photo by Feng Yu / Shutterstock.com
Hungary's government puts this year's GDP growth at 4.3% in its updated Convergence Program prepared for the European Commission, according to a report by state news wire MTI.
Weeks before the start of the war in Ukraine, the Finance Ministry had put 2022 GDP growth at 5.9%.
The report shows the general government deficit narrowing to 4.9% of GDP in 2022, the same reduced target announced by the government late in 2021, after it decided on postponing some investments to keep the gap around the expected average for European Union member states.
State debt, relative to GDP, is set to decline to 76.1% at year-end.
The government puts average annual inflation for this year at 8.9%.
The report shows the current-account deficit widening from 0.5% of GDP in 2021 to 2.6% of GDP in 2022, before returning to surpluses from 2023.
Hungary's balance of trade in goods and services is expected to run a deficit equivalent to 1.9% of GDP in 2022.
In a post on Facebook on Friday, Finance Minister Mihály Varga noted that the government had stuck to the deficit targets it announced late last year in the updated Convergence Program.
"The global economic environment has changed and the number of challenges has grown, but the goals of disciplined fiscal policy remain unchanged," he said.
ADVERTISEMENT
Hungary Trade Surplus at EUR 308 mln in April
Parl't Approves Amendments to Legislation on Judiciary
Gloster Acquires P92 IT Solutions
Landmark Budapest Dept Store to Reopen After HUF 8 bln Renov...
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.
