“The success of the Government’s economic policy is proven by the fact that domestic GDP grew by 5.3 percent during the first quarter of 2019, exceeding analysts’ estimates”, Minister of Finance Mihály Varga declared.

“Behind the favourable figure lies the dynamic increase in employment, the continuous increase in wages, unbroken appetite for investment, and the outstanding performance of exports”, Mr. Varga pointed out.

DownloadPhoto: Ministry of Finance

“Following last year’s 5 percent rise in GDP, the figure for the first quarter of this year is a clear indication that dynamic growth may continue throughout the year”, the Minister stressed.

“In contrast to the first decade of this century, the outstanding performance of the economy is stable and balanced, and is not the result of external debt and a high budget deficit. While the average growth of the European Union for the first quarter is around 1.5 percent, Hungarian economic expansion is some three-and-a-half times this, putting us in first place among the member states according to available data”, he told reporters.

DownloadPhoto: Ministry of Finance

“The number of people in employment is approaching 4.5 million, while the 3.6 percent rate of unemployment is the lowest since the regime change. Parallel to this, double-figure wage increases are being realised thanks to the six-year wage agreement, which is tangibly contributing to an increase in domestic consumption and the reinforcement of the service sector”, the Finance Minister explained.

“Confidence in the Government’s economic policy is indicated by the fact that enterprises are realising more and more investments, as shown by the increased performance of industry and exports. Among the many measures introduced by the Government, the distribution of EU development funding and the role of the Home Creation Scheme may be highlighted, thanks to which construction industry production increased by 48.2 percent and the number of new homes being constructed increased by 8 percent during the first quarter”, Mr. Varga pointed out.

“The Government’s goal is for the growth of the Hungarian economy to remain on a sustainable trajectory that exceeds the EU average”, the Minister highlighted. “Hungarian GDP has increase by a total of 28.6 percent since 2010, and will continue to grow with regard to the upcoming quarters. In view of possible future external risks, budget planning is centred on supporting families and economic protection measures”, Mr. Varga added.

(Ministry of Finance)