This week in business and finance in Hungary

See below main business and financial news:

THIS IS HOW MUCH RENT YOU HAVE TO PAY IN DIFFERENT HUNGARIAN CITIES

There has been a 10 per cent increase in the rent prices since the admission points have been posted in July. In the major college towns, the rent prices are around 260-490 EUR. This means that one would have to pay 16-32 EUR more per average than last year.

IS THIS THE END OF SOUR CREAM?

The reign of butter has returned since it was proven that is healthier than margarine. There is already a shortage of butter in Europe, its price has doubled, along with the price of other dairy products. There are a lot of opportunities unused in Hungary in the field of butter production, but as vg.hu reports, measures have been taken.

OTP Q2 PROFIT CLIMBS 12 PC TO EUR 264M

OTP Bank’s second-quarter after-tax profit rose by 12 percent annually to 80.7 billion forints (EUR 264m), lifted by higher revenue from commissions and fees, lower risk costs and a subdued increase in operating costs, an earnings report showed.

HUNGARY CONSTRUCTION SECTOR OUTPUT JUMPS BY 27 PC IN JUNE

Output of Hungary’s construction sector rose by an annual 27.2 percent in June, albeit from a low base, the Central Statistical Office (KSH) said. Output of the building segment was up 26.1 percent during the period while output of the civil engineering segment climbed 29.6 percent.

HUNGARY CPI PICKS UP TO 2.1 PC IN JULY

Consumer prices in Hungary rose by an annual 2.1 percent in July, accelerating from a 1.9 percent increase in June, KSH said. The headline figure was lifted by a 7.9 percent increase in the price of tobacco. Core inflation amounted to 2.6 percent.

GENERAL GOVERNMENT DEFICIT REACHES 70 PC OF FULL-YEAR TARGET IN JULY

Hungary’s cash flow-based general government, excluding local councils, ran a 816.8 billion (EUR 2.67bn) deficit at the end of July, preliminary data released by the economy ministry showed. The deficit reached 70 percent of the 1,166.4 billion forint full-year target.

UPC REVENUE UP 11 PC IN Q2

Revenue of UPC Magyarország, which offers subscribers telecommunications, internet and television services, rose by an annual 11.4 percent in the second quarter, the company said. Subscriber numbers rose by 6.7 percent to 1,989,000 during the period.

LEASING COMPANY OUTLAYS UP 19 PC IN H1

Hungarian leasing companies’ outlays rose by 19 percent to 279.4 billion forints (EUR 897m) in the first half from the same period a year earlier, the Hungarian Leasing Association said. Outlays for construction machinery grew by 33 percent to 8.3 billion forints and farm machinery financing was up 16 percent at 35.2 billion forints.

CIB PROFIT FALLS 26 PC IN H1

First-half net profit of Italian-owned CIB group fell by 26 percent annually to 9.5 billion forints (EUR 31m), the lender said.

GRAPHISOFT PARK Q2 NET PROFIT EDGES DOWN ON HIGHER COSTS

Second-quarter net profit of Graphisoft Park, a listed company that owns and operates a business park in the north of the capital, fell by an annual 2 percent to 669,000 euros, an earnings report showed.

NBH INTERNATIONAL RESERVES FALL EUR 1.15BN ON BOND EXPIRY

The National Bank of Hungary’s (NBH) international reserves stood at 22.307 billion euros at the end of July, down 1.154 billion euros from the end of the previous month, preliminary data released by the central bank showed. The reserves fell as Hungary repaid a 1 billion euro government bond issued ten years earlier and due on July 4, 2017.

Source: MTI