Data released by the Central Statistical Office (KSH) show that investment volume in Hungary rose by an annual 2.5 percent in the fourth quarter of last year, after three consecutive quarters of declines, supported by public sector and household investments.
For the full year, investment volume fell by 3.8 percent, impacted by the pandemic. In a quarter-on-quarter comparison, investment volume was up by a seasonally-adjusted 4.8 percent. In absolute terms, Q4 investments reached HUF 4,093 billion, while investments for the full year came to HUF 10,692 billion.
Finance Minister Mihály Varga said that the real estate, public administration, education and health sectors had excelled with investment growth rates of at least 20 percent. Minister Varga said the government’s investment-promoting measures, the ongoing expansion of capacities, tax cuts and a top-notch investment rate within the European Union would further boost investment this year.
Analysts said the better-than-expected Q4 investment figures had contributed to a surprisingly high GDP figure, adding that the EU funds available this year may bring about another 6 to 10 percent rise in investments.
Photo credit: MTI