Hungary’s GDP growth speeds up to 3.5% y/y in Q1 2014 – flash estimate

By bne IntelliNews May 16, 2014

Hungary’s economy expanded by 3.5% y/y in the first quarter of 2014, speeding up from a 2.7% y/y rise in the previous three months, the statistics office said in a flash estimate. The reading overshoot market expectations as analysts polled by poll were expecting a 2.7% GDP hike.

On a quarterly basis, the GDP grew by 1.1% in Q1, also speeding up slightly from a 0.7% q/q rise in Q4 2013.

The statistics office, which is due to release detailed GDP figures on June 4, said the economic growth was supported by expanding manufacturing and construction sectors.

Hungary was one of the top performers in the EU with seasonally adjusted GDP growth of 3.2% y/y in Q1, data from the Eurostat showed. The country was preceded by Romania (3.8%) and Poland (3.5%).

In light of the better-than-expected Q1 GDP data, the annual economic growth in full-2014 could exceed by 0.3-0.6pps the government's 2.3% GDP growth  projection, the economy ministry commented.

Related Articles

EU calls for tax haven blacklist in Paradise Papers fallout

The finance ministers of the European Union member states have called for the creation of a blacklist of tax havens to crack down on tax dodging, the ministers said at a meeting in Brussels on ... more

Hungary slides down World Bank's Doing Business index

Hungary fell to 48th from 41st on the World Bank’s latest “Doing Business,” index which rates the business climate in 190 countries, published on October 31. Hungary's regional peers all ... more

Hungary and Slovakia sign memorandum on Eastring Gas Pipeline

Hungarian Foreign Minister Peter Szijjarto and Slovak Economy Minister Peter Ziga signed a statement of intent to build the Hungarian-Slovak stretch of a North-South gas pipeline Eastring in Kosice ... more