Hungary’s economic update: rising government deficit, PMI growth, and trade surplus increase

Hungary news – the latest data on economic indicators are now available:

Hungary govt sector deficit reaches 3.7pc of GDP in H1

Preliminary data released by the Central Statistics Office (KSH) on Tuesday show that Hungary’s government sector had a HUF 1,489 bn deficit in the first half, equivalent to 3.7pc of GDP.

Government sector revenue rose 8.3pc to HUF 16,825bn (EUR 42m), while expenditures increased 3.5pc to HUF 18,314bn (EUR 42m).

Revenue from social insurance contributions climbed by 14.1pc or HUF 511bn (EUR 1.29bn), and revenue from taxes on production rose by 7.4pc or HUF 470bn (EUR 1.18bn), while revenue from taxes on income increased by 17.5pc or HUF 462bn (EUR 1.16bn).

On the expenditure side, investment spending fell by 7.0pc or HUF 80bn, but interest expenditures climbed by 11.8pc or HUF 195bn.

Alone in the second quarter, the government sector deficit reached HUF 469bn, equivalent to 2.3pc of GDP, KSH said.

Hungary trade surplus reaches EUR 167m in July

Hungary had a EUR 167m trade surplus in July, according to the second reading of data released by the Central Statistics Office (KSH) on Tuesday.

Exports climbed 4.8pc year-on-year to EUR 11.815bn. Imports rose 8.8pc to EUR 11.648bn.

Trade with other European Union member states accounted for 74pc of Hungary’s exports and 70pc of its imports during the month.