wiiw Forecast Reports
HUNGARY: Heading into recession
publication_icon
in: Bracing for the Winter
wiiw Forecast Report No. Autumn 2022, October 2022 , pp. 88-91
After strong first half-year growth, the Hungarian economy is heading downhill. Inflation is accelerating, consumer demand is shrinking, public investment projects are being cancelled and private investments postponed. The fragile fiscal position renders unfeasible any substantial government intervention to counterbalance shrinking domestic demand. The foreign trade deficit has been growing rapidly. Unfreezing EU transfers could ease the problems; but that money will not reach Hungary any time soon – if at all.
Reference to wiiw databases: wiiw Annual Database, wiiw Monthly Database
Countries covered: Hungary