ICEG predicts surge of economic growth in Hungary, Romania
The European Center of the International Center for Economic Growth (ICEG) said that among new EU member states in the Central Eastern European region, only Hungary and Romania would record higher economic growth in 2008 than in 2007.
ICEG's quarterly forecast published on Thursday said that Hungary's economy will expand at a rate of 2.1% in 2008 and 3.2% in 2009.
ICEG attributes the projected rise in Hungary's growth rate to rising exports and a successful reduction of its fiscal deficit.
ICEG predicts that Hungary's general government deficit will be 3.8% of GDP in 2008 and 3.2% of GDP in 2009.
A drop in the government's financing needs and a rise in domestic savings will make Hungary less exposed to global capital markets, the institute noted.
Thanks to accelerating growth, Hungary's unemployment rate will drop 0.4 percentage points to 7% by 2009 following two years of stagnation, the research institute predicts.
ICEG projects that average annual inflation in Hungary will 6.4% in 2008 and 4.4% in 2009. Hungary will be the only country among the region's EU members where inflation will drop this year, ICEG said, noting the inflation will slow after rising to 8% last year. (MTI – Econews)
ADVERTISEMENT
SMEs Augur Higher Sales, Profit Next Year
Hungary Open to New Double Taxation Avoidance Treaty With U....
Hungarian-born Physicist Ferenc Krausz Shares Nobel Prize
Summer Tourism Season Breaks Pre-COVIDÂ Record
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.
