N

Hungary's economy is booming as IMF forecasts GDP growth, construction output is up and industrial sector expands

The International Monetary Fund has forecast Hungary’s GDP growth by 2.8% in 2019, the construction sector output rose by 23.8% in September year-on-year and the industrial sector output grew by 5.4 percent

Hungary's economy is booming as IMF forecasts GDP growth, construction output is up and the industrial sector expands.

According to MTI, the IMF’s regional economic outlook report for Europe said domestic demand was likely to expand by 2.7%, while gross investment as a share of GDP could reach 20.9%.

The report also forecast annual inflation at 3% and unemployment at 4.3%. The budget deficit is expected to be 2.3% of GDP in 2019 while the country’s gross debt is likely fall to 70.2% of GDP.

The Hungarian government projects GDP growth of 4.1% for 2017 and 4.3% for 2018. 

Hungary’s construction sector output rose by 23.8% in September from a year earlier, the Central Statistical Office (KSH) said.

Output of the building segment was up by 22.9% while output of the civil engineering segment rose by an annual 25.4%.

In September 2017 and in the period January-September 2017, the volume of industrial sector output grew by 5.4 percent and 5.2 percent year-on-year, respectively.

Since January 2010, the sector’s output has been up by more than 35 percent, and thanks to favorable economic conditions the sector’s expansion is expected to continue.