Hungarian business and financial news from the previous week
See below main business and financial news from the previous week:
NET AVERAGE WAGE IN HUNGARY REACHES EUR 649 IN JUNE
The average gross monthly wage in Hungary rose by annual 14.4 percent to 297,251 (EUR 976) forints in June, the Central Statistics Office (KSH) said on Tuesday. Net wages grew at the same pace as gross wages did to reach 197,672 forints (EUR 649). While the median average wage in EU is about EUR 1,520 not all countries are equal, so for example the largest average salary have been registered in Denmark (EUR 3,095) while the lowest in Bulgaria (EUR 406), Hungary has the third lowest net wage in EU.
HUNGARIAN REAL ESTATE MARKET SKYROCKETING
The latest analysis of Ingatlan.hu reveals that the most popular residential park is the one at Lajos Street. The study also drew some interesting conclusions. These include that the most expensive flats are in Újlipótváros: they usually cost 1560 euros per square meter. Among the flats in the countryside, the ones close to Budapest are the most popular, like in Érd or Pomáz. The most expensive flats are in Budaörs. Hungary’s cheapest flats can be found in Ózd, Komló or Mezőhegyes.
SHOCKING WAGES IN HUNGARY – THE REALITY OF THE LABOUR MARKET
Do you know how much a priest earns in Hungary? Or a judge, a smith, a parking attendant, a sign language interpreter? You can find out about Hungarian wages per month from napi.hu’s collection.
S+P REVISES OUTLOOK ON HUNGARY RATING TO ‘POSITIVE’
Standard and Poor’s Global Ratings revised the outlook on Hungary’s ‘BBB-/A-3’ long- and short-term foreign and local currency sovereign credit ratings to ‘positive’ from ‘stable’. “The outlook revision reflects our expectation that Hungary’s improving economic and external metrics might support ongoing improvements in the financial sector and thus strengthen the monetary transmission channel,” S+P said.
SMG TO INVEST EUR 27m IN HUNGARY EXPANSION
Indian automotive industry supplier Samvardhana Motherson Group (SMG) will build a 8 billion forint (EUR 27m) rearview mirror and bumper plant in Túrkeve (SE Hungary), the Minister of Foreign Affairs and Trade said. The government is supporting the investment, which will create 415 jobs, with a 2.2 billion forint grant, he said.
MAGNUS AIRCRAFT TO BUILD EUR 17.1m PLANT IN PÉCS
Hungary’s Magnus Aircraft said it will build a 5.2 billion forint (EUR 17.1m) plant in Pécs (SW Hungary). The government is awarding the company a 2 billion forint grant for the investment, which will create 105 jobs.
RÁBA H1 PROFIT JUMPS 41 PC
Hungarian automotive industry company Rába’s first-half after-tax profit climbed by an annual 41 percent to 713 million forints (EUR 2.4m), an earnings report showed. Net sales revenue climbed more than 5 percent to 21.6 billion forints.
MOL TO COMPLETE 8-FOR-1 SHARE SPLIT BY END-SEPTEMBER
Hungarian oil and gas company MOL said it expects an eight-for-one share split to be completed by the end of September. A request to amend MOL’s corporate charter will be submitted to the Court of Registry, after which time a separate announcement will be made on the timing of the split, the company added.
BUDAPEST BANK H1 PROFIT FALLS BY 29 PC
State-owned Budapest Bank’s consolidated first-half after tax profit fell by an annual 29 percent to 9.9 billion forints (EUR 32.5m), an earnings report showed. The bank’s total assets stood at 968 billion forints at the end of June.
BANKING SECTOR PROFITS CLIMB 6 PC IN H1
Hungarian banks’ combined first-half after-tax profit rose by an annual 6 percent to 362.9 billion forints (EUR 1.19bn), data released by the National Bank of Hungary showed.
XELLIA INAUGURATES USD 13 M EXPANSION IN BUDAPEST
Denmark’s Xellia Pharmaceuticals inaugurated a 13 million dollars expansion at its base in Budapest. Xellia added microbiology and chemical analytical laboratories, a product stability centre and administrative offices in a 3,000 sqm building next to its manufacturing plant in Budapest’s District X.
NBH TO UPGRADE HUF 1,000 BILL WITH ENHANCED SECURITY FEATURES
The National Bank of Hungary is upgrading the 1,000 forint bill with enhanced security features, it said. The new banknote will become legal tender from August 24, but will not enter into circulation until next March, allowing sufficient time to prepare for the switchover.
THREE-MONTH NBH DEPO STOCK CUT BY HUF 50 BN TO HUF 450 BN
The National Bank of Hungary accepted placements of 125 billion forints (EUR 411m) in its three-month deposit facility at a tender, reducing total stock of the depos by 50 billion forints to 450 billion forints as the maturing deposit exceeded the new placement.