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Finance Minister: 2022 budget aimed at relaunching the economy

There is HUF 7,308 billion (EUR 20.3bn) pencilled in to restart the economy, amounting to the biggest economic program in modern Hungarian history.

Presenting the 2022 budget bill to parliament, Finance Minister Mihály Varga said the government targets economic growth of 5.2 percent, with a deficit target of 5.9 percent of GDP and public debt of 79.3 percent.

According to MTI, Minister Varga said the budget was aimed at relaunching the economy, supporting families, reintroducing the 13-month pension, providing tax exemptions for earners under 25, while further reducing the tax burden on employers and supporting investments that create jobs.

The minister said there is HUF 7,308 billion (EUR 20.3bn) pencilled in to restart the economy, amounting to the biggest economic program in modern Hungarian history. The draft 2022 budget is HUF 483 billion larger than this year’s, he said, noting that HUF 2,778 billion is being made available for family support measures such as personal income tax exemptions and housing subsidies.

Minister Varga added that the government will also spend HUF 2,884 billion on healthcare, HUF 769 billion more than this year. In order to manage risks, a HUF 233 billion reserve fund has been set aside in the budget. He said average wages were expected to grow by 8 percent next year. Regarding the basic minimum wage and the minimum wage for skilled workers, he noted that an agreement between employers and employees would provide the basis for calculating them.