Hungarian Parliament building

Hungary GDP Q4 2018

Hungary: Growth hits 14-year high in Q4

The Hungarian economy continued to fire on all cylinders in the fourth quarter. According to preliminary data released by the Hungarian Central Statistics Office (KSH) on 14 February, economic growth in year-on-year terms reached 5.0% in Q4, slightly above the second quarter’s 4.9% annual expansion and the strongest reading in over 14 years. The reading brings growth for 2018 as a whole to a multi-year high of 4.8% and above 2017’s 4.1% expansion .

Sturdy domestic demand remained in the driver’s seat in the quarter. Solid domestic sales fueled growth in industrial production, although the intensity of the expansion was limited by a marked cooling in the industrial sector in the EU. This was especially the case in Germany, which is the country’s main trading partner. Moreover, upbeat business sentiment and a buoyant construction sector suggest fixed investment expanded solidly, benefiting from growing inflows of EU funds. Meanwhile, retail sales recorded robust expansions in Q4, spurred by impressive wage growth and a tight labor market, although the pace of increase was lower on average than in Q3.

On a quarter-on-quarter, seasonally- and calendar-adjusted basis, GDP growth moderated from 1.3% in Q3 to 1.1% in Q4.

More detailed data will be released on 1 March.

Hungary GDP Forecast

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