Hungary industrial output up 8.8 pc in May

In May industrial output in Hungary was up by 8.8 percent compared to the same month a year earlier, a preliminary release of data by the Central Statistical Office on Thursday showed.

Output rose after a 3 percent decrease in April.

Output increased by 6.2 percent in May when adjusted for the number of workdays during the period.

In a month-on-month comparison, industrial output rose by 2.3 percent after falling by 0.7 percent in April, adjusted for seasonal and workday effects.

In January-May, industrial output was up by an annual 5.7 percent.

Takarekbank analyst Gergely Suppán said industrial production could grow by 7 percent this year as production growth picks up in coming months due to low base affects and additional production capacity coming online in the food, rubber manufacturing and automotive industries. Production growth could further accelerate next year when capacity will continue to expand in the automotive sector, he added.

Péter Virovácz of ING Bank said the industrial sector should do well in the near future, though there may be serious fluctuations in monthly performances. Industrial data also suggest that economic growth in the second quarter could be strong.

Source: MTI