In the latest quarterly review, Hungary's economic performance fell short of analysts' projections, underscoring the challenges of a gradual recovery from a protracted recession that continues to pressure the nation's fiscal framework. According to data released by the Budapest-based statistics office this week, Hungary's Gross Domestic Product (GDP) increased by 1.1% on an annual basis […]
Hungary finds itself grappling with a ballooning budget deficit that has compelled the government to put a temporary halt on state investments. As the first quarter of the year drew to a close, the central budget deficit alarmingly neared the full-year target, painting a stark picture of the financial challenges facing the nation. In March […]
After wielding its veto power at an EU summit in December to stop the proposed €50-billion fund for Ukraine, known as the Ukraine Facility, Hungary suspended a vital life-line for the war-torn country. As the EU searches for ways to revive negotiations on the package, Hungary signaled it may throw its support behind the initiative […]
The Hungarian government has set its sights on reducing the country's budget deficit to below the European Union's threshold of 3% of GDP in the coming year. Finance Minister Mihály Varga made the announcement while presenting the 2024 budget plan to Parliament this week. As part of their strategy, the Cabinet will ease taxes on […]
The forint hit a losing streak this week, weakening to a two-month low against the euro, as investors got jittery over Hungary’s deteriorating finances and the central bank’s loosening monetary policy. Further interest rate cuts may add fuel to the fire, analysts warned. The Hungarian currency’s losses accelerated against the euro this week as markets […]
The minister in charge of the Prime Minister's Office announced this week that the government will maintain its policy of keeping utility prices subsidized at least until the end of December. At the same time, analyst warn that the subsidy system is putting a heavy strain on public finances. Gergely Gulyás, the minister in charge […]
Hungary’s budget deficit continued to widen on government stimulus measures, reaching nearly half of the increased annual target by the end of July. Meanwhile, the head of the nation’s central bank warned that a global economic crisis was looming large on the horizon and the government needs to undergo structural changes to respond to the […]
The Hungarian government argues that next year’s budget bill, submitted earlier this week, is aimed at relaunching the economy. However, the bill has come under heavy fire from the Fiscal Council, the National Bank of Hungary and opposition parties for being an election-year budget designed to support key voting groups. Hungary’s 2022 budget targets economic […]
Hungary’s budget deficit widened at an alarming pace in the first three months of 2021, prompting the Finance Ministry to modify the year-end target. Economists are concerned that the severeness of the pandemic will force the government to repeatedly review its forecasts for the year as the economic impact of the epidemic is set to […]
The bigger than expected decline in Hungary’s economic output has dealt a significant blow to the government’s budget plan for 2020. As a result of the weak GDP data in the second quarter and further restrictive measures made necessary by the second wave of the epidemic, the Finance Ministry was forced to revise its budget […]
