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Hungary trade balance shows deficit for seventh month in a row
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Hungary’s trade balance showed a deficit for the seventh month in a row in January, a first reading of data released by the Central Statistical Office (KSH) on Friday shows.
Hungary, an export-driven economy where trade surpluses are the norm, had a 196-million-euro trade deficit for the month, with exports rising by an annual 15.1 percent to 10.288 billion euros and imports up 31.2 percent to 10.485 billion.
Analysts said growing imports and the weaker trade balance were in large part due to growing domestic demand and skyrocketing energy prices.
Takarékbank analyst Gergely Suppan said that after the trade surplus fell to 1.9 billion euros in 2021, the war in Ukraine further muddled expectations. Growing grain prices, another consequence of the war, could offset the deteriorating trade balance but this would be dampened by grain export caps, he said.
Wow – but not surprised.
Growing Debt of Government not helped by rising Interest rates and Inflation, possibility petrol prices increase within 7 to 10 days – the value of the Forint/Huf – being “wobble” – to possible fall to lower values – just a few – and of course OTHERS – that are major CHALLENGES – the present Government of Hungary – have on their plate.
Ukraine / Russia – conflict of war – another large indent into Hungary that highlights an economy – that ALL Major Componentry looked at and studied – to access the performance at present and into the Future, the Financial & Economic outlook for Hungary – gives clear indication – that it is an Economy in Serious Trouble.