Amid the ongoing coronavirus pandemic, which has left harsher effects than the 2008, the Hungarian Finance Minister Mihály Varga suggested that the country’s GDP could potentially fall by 6.4% in 2020. 

He showed optimism about next year’s second quarter, when the vaccine could be available and impacting the country’s economic trends. Varga was before a parliamentary committee on Tuesday.

Varga continued to assure the public that the ministry is seeking to improve Hungary’s growth momentum and looking at ways that will support the country throughout 2023. 

However, he suggested that the budget deficit in 2020 will be higher than usual, amounting to 8-9% of the GDP. 

The International Monetary Fund also contracted its estimate for Hungary’s economy by 6.1%, having initially predicted a 3.1% contraction for 2020. 

Initially, 942 billion forints were transferred to the economic defence fund and was later pushed up to 2,059 billion forints.

In other news, the Polish Finance Minister Tadeusz Koscinski spoke up to say that he does not expect more amendments to this year’s budget. This means that the expected budget deficit for the year will remain 109 billion zlotys. 

News you might like

Media contact

deVere Europe’s Public Relations Department deals with all areas of the media and external communications including international, national, regional, local, trade, consumer, print, broadcast, social and online. The Department aims to provide a helpful service to journalists, broadcasters and editors, amongst others, and reply to all media enquiries, including urgent enquiries out of hours, within agreed deadlines. Our press office does not have access to client details and will not be able to assist with individual client enquiries. Please contact deVere Europe’s Head of Public Relations on george.prior@devere-europe.com or call +44 2071220925