Hungary’s current account turns to EUR 549.2mn surplus in Q1 2013.

By bne IntelliNews July 1, 2013

Hungary's current account swung into a surplus of EUR 549.2mn in the first quarter of 2013 from a EUR 52.7mn deficit in the same period of the previous year, central bank data showed. In our estimates, the surplus accounted for 0.6% of the GDP in Q1 2013. The surplus on the foreign trade account increased by 24.3% y/y to EUR 1.11bn. Exports advanced 0.7% y/y to EUR 19bn, while imports dropped by 0.5% y/y to EUR 17.9bn. The surplus on the service account grew by 7.3% y/y to EUR 726.9mn in Q1 2013.

The deficit on the income account narrowed by 8.3% in annual terms to EUR 1.27bn. The balance of current transfers registered a deficit of EUR 22.2mn, down by 90.8% in annual comparison as a result of higher net EU transfers, which grew to EUR 192.5mn in Q1 2013 from EUR 33.6mn a year earlier.

The surplus on the capital account witnessed a 38.3% y/y increase to EUR 561.7mn in Q1. This combined with the current account surplus led to net external financing capacity of EUR 1.11bn in the first quarter of 2013, up from EUR 353.5bn a year earlier.

Hungary current account in Q1, EUR mn    
  2012 2013 % y/y
Current Account  -52.7 549.2 -
Goods 894.6 1112.2 24.3
        Export 18888.2 19012.8 0.7
        Import 17993.7 17900.6 -0.5
Services 677.4 726.9 7.3
        Export 3522.7 3576.7 1.5
        Import 2845.3 2849.8 0.2
        Travel 394.6 420.9 6.7
Income -1382.6 -1267.7 -8.3
Current transfers -242.0 -22.2 -90.8
        of which: EU transfers 33.6 192.5 472.2
Source: Central bank      

Related Articles

Hungarian unions in full gear for first country-wide strike at Tesco stores

Union leaders are preparing for the first country-wide strike at Tesco stores in Hungary, which has unanimous support from workers, local media reported on September 4. This is just the latest in ... more

Russian development bank IIB signs off on debut Hungarian credit facility

The Moscow-based International Investment Bank (IIB) announced on August 9 that it has signed off on its debut credit facility in Hungary. The Russian-led IIB decided around five years ... more

Central Europe’s factories remain busy despite a summer lull in PMIs

Manufacturers in Central Europe reported a step back in activity and confidence in July, purchasing managers’ indices (PMI) released by IHS Markit on August 1 showed. While, the indicators still ... more