Hungary jobless rate 4.6 pc

Budapest, May 26 (MTI) – Hungary’s rolling average three-month jobless rate was 4.6 percent in February-April, slightly up from 4.5 percent in the previous period, the Central Statistical Office (KSH) said on Friday.

The February-April rate was down from 5.8 percent in the same period a year earlier.

The rate covers unemployment among those between the ages of 15 and 74.

In absolute terms, there were 209,000 unemployed in Hungary in February-April, 2,200 more than in January-March but 55,900 fewer than in the same period a year earlier.

Commenting on the data, the economy ministry said 105,000 more were employed in the private sector in February-April than during the same period last year. The number of employed has risen by 685,000 since February-April 2010, the ministry said in a statement. Most of the jobs added since 2010 have been created in the private sector, it said.

The ministry added that since the change in government in 2010, the employment rate had risen to 67.3 percent from 54.6 percent, while the unemployment rate had fallen to 4.6 percent from 11.5 percent.

The statement said growing household consumption, planned capacity expansions by companies, a housing market upswing resulting from government measures and an acceleration in the uptake of EU funds would all contribute to further jobs growth.

Analysts interviewed by MTI said they expected the unemployment rate to decline further in the coming months.

Gergely Urmossy of Erste Bank said the slight rolling rise in the three-month period was connected with an increase in the activity rate, which went up from 61.1 percent to 61.4 percent, and that not all of those who were active on the labour market were able to get jobs immediately. He forecast an unemployment rate of 4.2 percent for the full year.

Peter Virovácz of ING Bank said wage rises will be a dominant factor on the labor market, while rising employment and falling unemployment may be slower than before. The jobless rate could fall close to 4 percent by the end of this year, he reckoned.

András Horváth of Takarekbank said it was favourable that the number of employees was growing in almost every sector.

Dávid Németh of K and H Bank said it was questionable as to how many of the people leaving public employment would find themselves work on the primary market.

Photo: MTI

Source: MTI