Fitch affirms Hungary economic outlook ‘stable’

Fitch Ratings on Friday affirmed Hungary’s ‘BBB’ sovereign rating, two notches over the investment grade threshold, with a ‘stable’ outlook.

“Hungary’s ‘BBB’ rating balances strong structural indicators and stronger and more stable macroeconomic performance than peers against high general government debt and risks from policy unpredictability and pro-cyclical policies,” Fitch said.

Fitch noted a deceleration in GDP growth in the second quarter but said economic growth is “still robust, with little evidence of macroeconomic imbalances”.

The credit rating agency expects growth to slow to 4.4 percent in 2019, 3.5 percent in 2020 and 2.5 percent in 2021.

Source: MTI