Hungary: Economy loses steam in Q4
February 14, 2017
The Hungarian economy decelerated for the second consecutive quarter in Q4. According to preliminary data released by the Central Statistics Office (KSH) on 14 February, the economy expanded 1.6% annually in Q4, well below the 2.2% expansion observed in Q3 .The reading was worse than market analysts’ expectations of a stronger 2.2% increase. In annual terms, the economy expanded at a four-year low of 2.0% in 2016, matching FocusEconomics’ Consensus Forecast.
According to KSH, a stagnation in the industry and construction sectors are chiefly to blame for the disappointing quarterly result. On a quarter-on-quarter basis, GDP growth inched up from a seasonally-adjusted 0.3% expansion in Q3 to a modest 0.4% increase. More detailed data will be released on 7 March.