The Central Statistical Office (KSH) has announced that Hungary's industrial output grew by an annual 5.9% in October.
Adjusted for the number of working days, output increased by 5.1%. KSH said the output of the automotive industry and the computer, electronics and optical equipment sectors showed “significant” growth while the increase in output of the food, drinks and tobacco products segment fell slightly. In the Jan-Oct period, output grew by an annual 6.6%. Month on month, output increased by 3.5%, based on seasonally and working day-adjusted data. Commenting on the data, Márton Nagy, the minister of economic development, said industrial output had risen again in October. He added, however, that industrial players were in an increasingly difficult situation due to high energy and raw material prices and a deteriorated financing and interest environment. Hungary has to avoid recession and maintain the stability of its industrial businesses, Nagy said. The government has therefore implemented a series of timely measures such as supporting small and medium-sized firms whose operations are energy intensive, and the launch of a “factory-saving” scheme, the minister said. It also gives businesses access to cheap credit through the Széchenyi Card scheme and has extended a freeze on lending rates to SMEs, he noted. Though the share of high-tech products in the industry is already 70%, Hungary must keep investments going, boost advanced technologies and high value-added developments and improve energy efficiency and sustainability in order to maintain the sector’s good performance, Nagy said. He encouraged industrial players to avail themselves of the opportunities provided by the government.