Hungarian Parliament building

Hungary GDP Q2 2021

Hungary: Economy roars ahead in Q2, again beating market expectations

According to a preliminary reading, economic activity continued to recover in the second quarter of 2021, beating market expectations. GDP expanded 2.7% on a seasonally-adjusted quarter-on-quarter basis in Q2, following Q1’s 2.0% increase. On an annual basis, the economy grew a massive 17.9% in Q2, contrasting the minus 2.1% reading in Q1.

While a detailed breakdown is yet to be released, the press release highlighted that activity in the industrial sector was the main driver of the quarter-on-quarter expansion. Improved consumer spending and an expansionary fiscal stance likely also provided support.

More detailed GDP data will be released on 1 September.

Looking at H2, growth momentum will likely ebb somewhat but should stay robust nonetheless, aided by the strong vaccine rollout, expansionary fiscal policy and inflows of EU funds. The strong performance should also encourage the Central Bank of Hungary to continue tightening its monetary policy, being one of the first European central banks to have done so already this year.

Free sample report

Access essential information in the shortest time possible. FocusEconomics provide hundreds of consensus forecast reports from the most reputable economic research authorities in the world.
Close Left Media Arrows Left Media Circles Right Media Arrows Right Media Circles Arrow Quote Wave Address Email Telephone Man in front of screen with line chart Document with bar chart and magnifying glass Application window with bar chart Target with arrow Line Chart Stopwatch Globe with arrows Document with bar chart in front of screen Bar chart with magnifying glass and dollar sign Lightbulb Document with bookmark Laptop with download icon Calendar Icon Nav Menu Arrow Arrow Right Long Icon Arrow Right Icon Chevron Right Icon Chevron Left Icon Briefcase Icon Linkedin In Icon Full Linkedin Icon Filter Facebook Linkedin Twitter Pinterest