Hungary Set to Become One of Europe's Fastest Growing Economies Again, Evaluates NGM on S&P's Move
Confidence in Hungary remains unbroken: Standard & Poor's (S&P) has once again affirmed Hungary's debt rating, continuing to classify the country in the recommended investment category.
The Hungarian economy stands on solid foundations, as reflected in today's report by Standard and Poor’s (S&P), which with a stable outlook continues to recommend our country for investment. Confidence in Hungary is strong among the significant credit rating agencies, with not only Standard and Poor’s but also Moody's and Fitch Ratings placing Hungarian government debt in the recommended investment category, evaluated the Ministry of National Economy on S&P's move.
As they wrote, Hungary's perception in the international financial markets is favorable, underscored by successful bond auctions and the continuous inflow of foreign direct investments. Notably, the largest German car manufacturers and the Chinese electric vehicle maker BYD, which is starting its production in the EU for the first time in Hungary, are investing in the country.
They highlighted: the popularity of Hungarian government securities is unwavering both in the international market and among the Hungarian population, as evidenced by the stock of retail government bonds closing at a new record high of more than HUF 10,760 billion at the end of March.
According to the ministry, the country's financial situation is stable and secure, with the government committed to reducing the budget deficit and public debt, eliminating the twin deficits, and continuously improving the country's trade balance.
The Hungarian economy stands on stable grounds; since 2010, 1 million new jobs have been created, bringing the number of employed persons to over 4.7 million today, while the number of registered job seekers is at a historic low. The inflation caused by the war and misguided sanctions from Brussels has been pushed back by the government's effective measures, resulting in a dynamic increase in real wages for the past six months. Boosted by rising real wages, retail turnover has begun to recover, expanding steadily in the first two months of 2024, with a growth of 0.6 percent in January and 1.1 percent in February on an annual basis.
The financial equilibrium and the restart of growth go hand in hand. Therefore, following the successful suppression, the government will restart growth this year and further accelerate its pace next year; once the war ends, Hungary will once again be among the fastest-growing economies in Europe. In terms of numbers, this means that Hungary's economy is expected to grow by 2.5 percent in 2024 and by 4.1 percent in 2025.
The government is working to ensure Hungary's development reaches 90 percent of the average level of development by 2030, for which the Ministry of National Economy has developed the government's new competitiveness strategy.
Good News for the Weekend: Standard & Poor's Continues to Recommend Hungary for Investment - reacted Finance Minister Mihály Varga to the news, who also posted a video on his Facebook page.
As they wrote, Hungary's perception in the international financial markets is favorable, underscored by successful bond auctions and the continuous inflow of foreign direct investments. Notably, the largest German car manufacturers and the Chinese electric vehicle maker BYD, which is starting its production in the EU for the first time in Hungary, are investing in the country.
They highlighted: the popularity of Hungarian government securities is unwavering both in the international market and among the Hungarian population, as evidenced by the stock of retail government bonds closing at a new record high of more than HUF 10,760 billion at the end of March.
According to the ministry, the country's financial situation is stable and secure, with the government committed to reducing the budget deficit and public debt, eliminating the twin deficits, and continuously improving the country's trade balance.
The Hungarian economy stands on stable grounds; since 2010, 1 million new jobs have been created, bringing the number of employed persons to over 4.7 million today, while the number of registered job seekers is at a historic low. The inflation caused by the war and misguided sanctions from Brussels has been pushed back by the government's effective measures, resulting in a dynamic increase in real wages for the past six months. Boosted by rising real wages, retail turnover has begun to recover, expanding steadily in the first two months of 2024, with a growth of 0.6 percent in January and 1.1 percent in February on an annual basis.
The financial equilibrium and the restart of growth go hand in hand. Therefore, following the successful suppression, the government will restart growth this year and further accelerate its pace next year; once the war ends, Hungary will once again be among the fastest-growing economies in Europe. In terms of numbers, this means that Hungary's economy is expected to grow by 2.5 percent in 2024 and by 4.1 percent in 2025.
The government is working to ensure Hungary's development reaches 90 percent of the average level of development by 2030, for which the Ministry of National Economy has developed the government's new competitiveness strategy.
Good News for the Weekend: Standard & Poor's Continues to Recommend Hungary for Investment - reacted Finance Minister Mihály Varga to the news, who also posted a video on his Facebook page.
Translation:
Translated by AI
