Budapest, June 7 (MTI) – Hungary’s industrial output rose by an annual 5.3 percent in April, based on preliminary data, after a surprise drop of 4.6 percent in March, the Central Statistical Office (KSH) said on Tuesday.

The April rise was the same when adjusted for the number of working days.

Seasonally and working day-adjusted output rose by 5.4 percent month on month.

In January-April, output was up an annual 1.5 percent.

KSH deputy department head Miklos Schindele said that with the exception of the food sector, increases were seen in all of the most important manufacturing branches.

The plunging March figure came on the back of falling output in Hungary’s automotive sector weighed against a high base.

Zoltan Marczinko, an economy ministry deputy state secretary, said the April figure broke an earlier negative trend in which output had eased month by month.

The volume of industrial output has increased by 24 percent since 2010 and by close to 10 percent since January 2014, he told public news channel M1, adding that international companies operating in Hungary have announced additional investments which will have a positive effect on industry.

ING Bank analyst Péter Virovacz said the strong increase in industrial output in April was a “positive surprise” and augurs a pickup in GDP growth to 2-2.5 percent in the coming quarters. Growth could also be supported by fiscal easing, he added.

Takarékbank analyst Gergely Suppán also said the rise beat expectations. The pickup may have been helped by the launch of production of new models at two of the big carmakers in Hungary, he added. Growth on European car market, reassuring order stocks and a strong purchasing managers index point to a further increase in industrial output, he added.

Source: http://mtva.hu/hu/hungary-matters

Leave a Reply

Your email address will not be published.