Hungary’s 14-point plan to crack down on inflation is coming to fruition
With the war in Ukraine and the EU’s misguided sanctions policy driving prices to record highs in Hungary, the government has been drafting plans to tackle inflation.
With the war in Ukraine and the EU’s misguided sanctions policy driving prices to record highs in Hungary, the government has been drafting plans to tackle inflation.
The EC forecasted Hungary’s annual GDP growth to slow down from 4.6% in 2022 to 0.5% in 2023, and then pick up to 2.8% in 2024.
The foreign minister told a forum of the UN Economic Commission for Europe (UNECE) dealing with sustainable development that dialogue and connectivity are needed.
Gergely Gulyás said Hungary had grown despite “two years of Covid and one of war”.
Minister Varga acknowledged that 2023 will be the “most dangerous year” for Hungary since the change of system, which will require “a reduction of risks and a buildup of reserves”.
Hungary needs to protect its independence and the “pro-peace position against the Biden administration and Brussels," the prime minister said.
Gergely Gulyás mentioned a review of Hungary’s pricing practices as “extremely important” and said the competition authority had relevant powers in the area.
The government’s measures serve as a good basis to avoid recession in 2023 and bring economic growth back above 4% next year.
The number of jobholders has remained above 4.7 million for six months, while the number of jobseekers sank to a record low in 2022.
In a month-on-month comparison, factory gate prices edged down 0.8% as prices for domestic sale rose by 1.6% but export prices fell by 2.0%.
Public debt was 73.5% of GDP last year as against 76.8% in 2021.
A PMI over 50 signals expansion in the manufacturing sector.