Hungarian economic growth was strong in the first half of 2019, but the signs of a deceleration are already discernible. In Q2 compared to Q1, investment growth slowed notably, while the external environment deteriorated. From next year, EU transfers will drop by a substantial degree, further weighing on investment. Labour shortages will remain problematic, and put further upward pressure on wages. We expect a significant slowdown of economic growth over the forecast horizon, from 4.3% this year to 3.1% in 2020 and to 2.6% in 2021.

map Hungary
Main Economic Indicators201720182019202020212022
Population, 1000 persons978897769720...
GDP, real change in %
GDP per capita (EUR at PPP)206002190023500...
Gross industrial production, real change in %
Unemployment rate - LFS, in %, average4.
Average gross monthly wages, EUR96110351129...
Consumer prices, % p.a.
Fiscal balance in % of GDP-2.4-2.3-1.7...
Public debt in % of GDP72.970.269.1...
Current account in % of GDP2.3-0.5-0.3-0.1-0.1.
FDI inflow, EUR mn720884693655...
Gross external debt in % of GDP84.180.175.3...

Basic data are continuously updated.

* Forecasts are changed beginning of March, July and November.
See Press Conferences.


HUNGARY: Clear signs of decelerating growth

Sandor Richter
in: Braced for Fallout from Global Slowdown
wiiw Forecast Report No. Autumn 2019, November 2019 , pp. 68-71
Details and Buy


Monthly Report No. 10/2019

Richard Grieveson, Julia Grübler, Sebastian Petric and Leon Podkaminer
wiiw Monthly Report No. 10, October 2019
42 pages including 29 Figures