Hungary - Economic Indicators

Economic Overview

Hungary has transitioned from a centrally planned to a market-driven economy with a per capita income nearly two-thirds that of the EU-28 average; however, in recent years the government has become more involved in managing the economy. Budapest has implemented unorthodox economic policies to boost household consumption and has relied on EU-funded development projects to generate growth. The economy is largely driven by exports, making it vulnerable to external market shocks. Following the fall of communism in 1990, Hungary experienced a drop-off in exports and financial assistance...

Continue reading View Factbook for Hungary

GDP Reference Last Previous Units Frequency
Private Consumption 2017 Q4 6,222,835 5,618,807 Mil. HUF, NSA Quarterly
Real Private Consumption 2017 Q4 4,019,281 3,962,776 Mil. 2005 HUF, CDASA Quarterly
Government Consumption 2017 Q4 1,118,958 916,725 Mil. HUF, NSA Quarterly
Nominal Gross Domestic Product 2017 Q4 10,616,014 9,702,408 Mil. HUF, NSA Quarterly
Real Fixed Investment (gross fixed capital formation) 2017 Q4 1,557,715 1,507,091 Mil. 2005 HUF, CDASA Quarterly
Real Government Consumption 2017 Q4 711,703 693,772 Mil. 2005 HUF, CDASA Quarterly
Investment 2017 Q4 2,621,733 2,446,350 Mil. HUF, NSA Quarterly
Real Investment 2017 Q4 1,256,101 1,369,163 Mil. 2005 HUF, CDASA Quarterly
Nominal Fixed Investment (gross fixed capital formation) 2017 Q4 2,442,074 2,280,714 Mil. HUF, NSA Quarterly
Real Gross Domestic Product 2017 Q4 6,640,001 6,556,984 Mil. 2005 HUF, CDASA Quarterly
Price Reference Last Previous Units Frequency
Consumer Price Index (CPI) Apr 2018 105.06 104.29 Index 2015=100, NSA Monthly
Producer Price Index (PPI) Mar 2018 103.5 103.9 Corresponding period of previous year=100, NSA Monthly
Labor Reference Last Previous Units Frequency
Unemployment Mar 2018 177.91 177.73 Ths. # 3-mo ending MA, NSA Monthly
Unemployment Rate Mar 2018 3.86 3.85 % 3-mo ending MA, NSA Monthly
Labor Force Mar 2018 4,613 4,618 Ths. # 3-mo ending MA, NSA Monthly
Labor Force Employment Mar 2018 4,435 4,441 Ths. # 3-mo ending MA, NSA Monthly
Agriculture Employment 2017 200,310 206,269 # Annual
Total Employment 2017 Q4 4,447 4,450 Ths., NSA Quarterly
Primary Industries Employment 2017 Q4 224.2 226.22 Ths., NSA Quarterly
Trade Reference Last Previous Units Frequency
Exports of Goods and Services 2017 Q4 8,747,850 8,462,214 Mil. HUF, NSA Quarterly
Real Imports of Goods and Services 2017 Q4 6,764,839 6,741,087 Mil. 2005 HUF, CDASA Quarterly
Imports of Goods and Services 2017 Q4 8,095,362 7,741,688 Mil. HUF, NSA Quarterly
Real Exports of Goods and Services 2017 Q4 7,502,232 7,315,829 Mil. 2005 HUF, CDASA Quarterly
Net Exports 2017 Q4 652,488 720,526 Mil. HUF, NSA Quarterly
Current Account Balance 2017 Q4 197.35 805.8 Mil. EUR, NSA Quarterly
Real Net Exports 2017 Q3 522,628 686,336 Mil. 2005 HUF, CDASA Quarterly
Exports of Goods 2016 88,716,361,990 88,321,817,700 USD Annual
Balance of Goods 2016 5,219,066,491 4,893,383,838 BoP; current USD Annual
Imports of Goods 2016 83,497,295,499 83,428,433,862 USD Annual
Government Reference Last Previous Units Frequency
Outstanding Public Debt 2017 Q4 28,543,341 28,103,337 Mil. National Curr., NSA Quarterly
Gross External Debt 2017 Q3 0 0 USD, NSA Quarterly
Markets Reference Last Previous Units Frequency
Lending Rate 25 May 2018 0.9 0.9 Percent, NSA Daily
Stock Market Index 24 May 2018 35,892 35,456 Index Jan 2 1991=1000, NSA Business Daily
Average Long-term Government Bond Apr 2018 2.47 2.6 % p.a., NSA Monthly
Treasury Bills (over 31 days) Mar 2018 0 0 % p.a., NSA Monthly
Money Market Rate Feb 2018 -0.06 -0.07 %, NSA Monthly
Real Estate Reference Last Previous Units Frequency
Residential Building Permits Mar 2018 1,133 907 #, NSA Monthly
Non-residential Building Permits Mar 2018 362 327 #, NSA Monthly
House Price Index for New Homes 2017 Q4 121.16 122.69 Index 2015=100, NSA Quarterly
House Price Value for Existing Homes 2017 13.6 12.7 Mil. HUF Annual
House Price Value for New Homes 2017 22.1 19.7 Mil. HUF Annual
House Price Index for Existing Homes 2017 Q4 104.31 109.11 Index 2015=100, NSA Quarterly
House Price Index 2017 Q3 126.91 123.24 Index 2015=100, NSA Quarterly
Consumer Reference Last Previous Units Frequency
Consumer Confidence Apr 2018 -3.8 -5.8 SA Monthly
Real Retail Sales Dec 2017 125.2 125.1 Index 2010=100, WDASA Monthly
Retail Sales Apr 2017 830,805 811,577 Mil. HUF, NSA Monthly
Business Reference Last Previous Units Frequency
Capacity Utilization 2018 Q2 84.4 84.9 %, SA Quarterly
Business Confidence Apr 2018 10.1 12.3 SA Monthly
Change in Inventories 2017 Q4 171,291 155,358 Mil. HUF, NSA Quarterly
Real Change in Inventories 2017 Q4 -63,391 201,117 Mil. Ch. HUF, NSA Quarterly
Industrial Production Dec 2017 129.8 128.2 Index 2010=100, WDASA Monthly
Demographics Reference Last Previous Units Frequency
Population 2018 9,771 9,798 Ths., NSA Annual
Births Feb 2018 6,821 7,781 # Monthly
Deaths Feb 2018 11,687 11,576 # Monthly
Birth Rate 2015 9.4 9.5 # per Ths. pop. Annual
Death Rate 2015 13.4 12.8 # per Ths. pop. Annual
Net Migration 2012 29,999 # Annual

Factbook

Background

Background:
Hungary became a Christian kingdom in A.D. 1000 and for many centuries served as a bulwark against Ottoman Turkish expansion in Europe. The kingdom eventually became part of the polyglot Austro-Hungarian Empire, which collapsed during World War I. The country fell under communist rule following World War II. In 1956, a revolt and an announced withdrawal from the Warsaw Pact were met with a massive military intervention by Moscow. Under the leadership of Janos KADAR in 1968, Hungary began liberalizing its economy, introducing so-called "Goulash Communism." Hungary held its first multiparty elections in 1990 and initiated a free market economy. It joined NATO in 1999 and the EU five years later.

Geography

Location:
Central Europe, northwest of Romania
Geographic coordinates:
47 00 N, 20 00 E
Map references:
Europe
Area:
total: 93,028 sq km
land: 89,608 sq km
water: 3,420 sq km
country comparison to the world: 111
Area - comparative:
slightly smaller than Virginia; about the same size as Indiana
Area comparison map:
Land boundaries:
total: 2,106 km
border countries (7): Austria 321 km, Croatia 348 km, Romania 424 km, Serbia 164 km, Slovakia 627 km, Slovenia 94 km, Ukraine 128 km
Coastline:
0 km (landlocked)
Maritime claims:
none (landlocked)
Climate:
temperate; cold, cloudy, humid winters; warm summers
Terrain:
mostly flat to rolling plains; hills and low mountains on the Slovakian border
Elevation:
mean elevation: 143 m
elevation extremes: lowest point: Tisza River 78 m
highest point: Kekes 1,014 m
Natural resources:
bauxite, coal, natural gas, fertile soils, arable land
Land use:
agricultural land: 58.9%
arable land 48.5%; permanent crops 2%; permanent pasture 8.4%
forest: 22.5%
other: 18.6% (2011 est.)
Irrigated land:
1,721 sq km (2012)
Population - distribution:
a fairly even distribution throughout most of the country, with urban areas attracting larger and denser populations
Environment - current issues:
the upgrading of Hungary's standards in waste management, energy efficiency, and air, soil, and water pollution to meet EU requirements will require large investments
Environment - international agreements:
party to: Air Pollution, Air Pollution-Nitrogen Oxides, Air Pollution-Persistent Organic Pollutants, Air Pollution-Sulfur 85, Air Pollution-Sulfur 94, Air Pollution-Volatile Organic Compounds, Antarctic Treaty, Biodiversity, Climate Change, Climate Change-Kyoto Protocol, Desertification, Endangered Species, Environmental Modification, Hazardous Wastes, Law of the Sea, Marine Dumping, Ozone Layer Protection, Ship Pollution, Wetlands, Whaling
signed, but not ratified: none of the selected agreements
Geography - note:
landlocked; strategic location astride main land routes between Western Europe and Balkan Peninsula as well as between Ukraine and Mediterranean basin; the north-south flowing Duna (Danube) and Tisza Rivers divide the country into three large regions

People & Society

Population:
9,850,845 (July 2017 est.)
country comparison to the world: 92
Nationality:
noun: Hungarian(s)
adjective: Hungarian
Ethnic groups:
Hungarian 85.6%, Romani 3.2%, German 1.9%, other 2.6%, unspecified 14.1% (2011 est.)
note: percentages add up to more than 100% because respondents were able to identify more than one ethnic group; Romani populations are usually underestimated in official statistics and may represent 5–10% of Hungary's population
Languages:
Hungarian (official) 99.6%, English 16%, German 11.2%, Russian 1.6%, Romanian 1.3%, French 1.2%, other 4.2%
note: shares sum to more than 100% because some respondents gave more than one answer on the census; Hungarian is the mother tongue of 98.9% of Hungarian speakers (2011 est.)
Religions:
Roman Catholic 37.2%, Calvinist 11.6%, Lutheran 2.2%, Greek Catholic 1.8%, other 1.9%, none 18.2%, unspecified 27.2% (2011 est.)
Age structure:
0-14 years: 14.71% (male 746,043/female 702,792)
15-24 years: 10.96% (male 557,655/female 522,324)
25-54 years: 41.88% (male 2,075,101/female 2,050,478)
55-64 years: 13.4% (male 608,734/female 711,602)
65 years and over: 19.05% (male 708,214/female 1,167,902) (2017 est.)
population pyramid:
Dependency ratios:
total dependency ratio: 46.9
youth dependency ratio: 21.2
elderly dependency ratio: 25.7
potential support ratio: 3.9 (2015 est.)
Median age:
total: 42.3 years
male: 40.4 years
female: 44.3 years (2017 est.)
country comparison to the world: 31
Population growth rate:
-0.25% (2017 est.)
country comparison to the world: 215
Birth rate:
9 births/1,000 population (2017 est.)
country comparison to the world: 205
Death rate:
12.8 deaths/1,000 population (2017 est.)
country comparison to the world: 16
Net migration rate:
1.3 migrant(s)/1,000 population (2017 est.)
country comparison to the world: 55
Population distribution:
a fairly even distribution throughout most of the country, with urban areas attracting larger and denser populations
Urbanization:
urban population: 72.1% of total population (2017)
rate of urbanization: 0.36% annual rate of change (2015-20 est.)
Major urban areas - population:
BUDAPEST (capital) 1.714 million (2015)
Sex ratio:
at birth: 1.06 male(s)/female
0-14 years: 1.06 male(s)/female
15-24 years: 1.07 male(s)/female
25-54 years: 1.01 male(s)/female
55-64 years: 0.85 male(s)/female
65 years and over: 0.6 male(s)/female
total population: 0.91 male(s)/female (2016 est.)
Mother's mean age at first birth:
28.3 years (2014 est.)
Maternal mortality rate:
17 deaths/100,000 live births (2015 est.)
country comparison to the world: 131
Infant mortality rate:
total: 4.9 deaths/1,000 live births
male: 5.2 deaths/1,000 live births
female: 4.6 deaths/1,000 live births (2017 est.)
country comparison to the world: 177
Life expectancy at birth:
total population: 76.1 years
male: 72.4 years
female: 80 years (2017 est.)
country comparison to the world: 91
Total fertility rate:
1.45 children born/woman (2017 est.)
country comparison to the world: 204
Health expenditures:
7.4% of GDP (2014)
country comparison to the world: 70
Physicians density:
3.32 physicians/1,000 population (2014)
Hospital bed density:
7.2 beds/1,000 population (2011)
Drinking water source:
improved:
urban: 100% of population
rural: 100% of population
total: 100% of population
unimproved:
urban: 0% of population
rural: 0% of population
total: 0% of population (2015 est.)
Sanitation facility access:
improved:
urban: 97.8% of population
rural: 98.6% of population
total: 98% of population
unimproved:
urban: 2.2% of population
rural: 1.4% of population
total: 2% of population (2015 est.)
HIV/AIDS - adult prevalence rate:
NA
HIV/AIDS - people living with HIV/AIDS:
NA
HIV/AIDS - deaths:
NA
Major infectious diseases:
degree of risk: intermediate
vectorborne diseases: tickborne encephalitis (2016)
Obesity - adult prevalence rate:
26.4% (2016)
country comparison to the world: 42
Education expenditures:
4.2% of GDP (2013)
country comparison to the world: 81
Literacy:
definition: age 15 and over can read and write
total population: 99.1%
male: 99.1%
female: 99% (2015 est.)
School life expectancy (primary to tertiary education):
total: 15 years
male: 15 years
female: 16 years (2015)
Unemployment, youth ages 15-24:
total: 17.3%
male: 18.3%
female: 16% (2015 est.)
country comparison to the world: 31

Government

Country name:
conventional long form: none
conventional short form: Hungary
local long form: none
local short form: Magyarorszag
etymology: the Byzantine Greeks refered to the tribes that arrived on the steppes of Eastern Europe in the 9th century as the "Oungroi," a name that was later Latinized to "Ungri" and which became "Hungari"; the name originally meant an "[alliance of] ten tribes"; the Hungarian name "Magyarorszag" means "Country of the Magyars"; the term may derive from the most prominent of the Hungarian tribes, the Megyer
Government type:
parliamentary republic
Capital:
name: Budapest
geographic coordinates: 47 30 N, 19 05 E
time difference: UTC+1 (6 hours ahead of Washington, DC, during Standard Time)
daylight saving time: +1hr, begins last Sunday in March; ends last Sunday in October
Administrative divisions:
19 counties (megyek, singular - megye), 23 cities with county rights (megyei jogu varosok, singular - megyei jogu varos), and 1 capital city (fovaros)
counties: Bacs-Kiskun, Baranya, Bekes, Borsod-Abauj-Zemplen, Csongrad, Fejer, Gyor-Moson-Sopron, Hajdu-Bihar, Heves, Jasz-Nagykun-Szolnok, Komarom-Esztergom, Nograd, Pest, Somogy, Szabolcs-Szatmar-Bereg, Tolna, Vas, Veszprem, Zala
cities with county rights: Bekescsaba, Debrecen, Dunaujvaros, Eger, Erd, Gyor, Hodmezovasarhely, Kaposvar, Kecskemet, Miskolc, Nagykanizsa, Nyiregyhaza, Pecs, Salgotarjan, Sopron, Szeged, Szekesfehervar, Szekszard, Szolnok, Szombathely, Tatabanya, Veszprem, Zalaegerszeg
capital city: Budapest
Independence:
16 November 1918 (republic proclaimed); notable earlier dates: 25 December 1000 (crowning of King STEPHEN I, traditional founding date); 30 March 1867 (Austro-Hungarian dual monarchy established)
National holiday:
Saint Stephen's Day, 20 August (1083); note - commemorates his cannonization and the transfer of his remains to Buda (now Budapest) in 1083
Constitution:
history: previous 1949 (heavily amended in 1989 following the collapse of communism); latest approved 18 April 2011, signed 25 April 2011, effective 1 January 2012
amendments: proposed by the president of the republic, by the government, by parliamentary committee, or by Parliament members; passage requires two-thirds majority vote of Parliament members and approval by the president; amended several times, last in 2013 (2016)
Legal system:
civil legal system influenced by the German model
International law organization participation:
accepts compulsory ICJ jurisdiction with reservations; accepts ICCt jurisdiction
Citizenship:
citizenship by birth: no
citizenship by descent only: at least one parent must be a citizen of Hungary
dual citizenship recognized: yes
residency requirement for naturalization: 8 years
Suffrage:
18 years of age, 16 if married and marriage registered in Hungary; universal
Executive branch:
chief of state: Janos ADER (since 10 May 2012)
head of government: Prime Minister Viktor ORBAN (since 29 May 2010)
cabinet: Cabinet of Ministers proposed by the prime minister and appointed by the president
elections/appointments: president indirectly elected by the National Assembly with two-thirds majority vote in first round or simple majority vote in second round for a 5-year term (eligible for a second term); election last held on 13 March 2017 (next to be held by spring 2022); prime minister elected by the National Assembly on the recommendation of the president
election results: Janos ADER (Fidesz) reelected president; National Assembly vote - 131 to 39; Viktor ORBAN (Fidesz) reelected prime minister; National Assembly vote - 130 to 57
Legislative branch:
description: unicameral National Assembly or Orszaggyules (199 seats; 106 members directly elected in single-member constituencies by simple majority vote and 93 members directly elected in a single nationwide constituency by party list proportional representation vote; members serve 4-year terms)
elections: last held on 6 April 2014 (next to be held by April 2018)
election results: percent of vote by party - Fidesz-KDNP 66.8%, Unity 19.1%, Jobbik 11.6%, LMP 2.5%; seats by party - Fidesz-KDNP 133, Unity 38, Jobbik 23, LMP 5
Judicial branch:
highest court(s): Curia or Supreme Judicial Court (consists of the president, vice president, 5 department heads, and approximately 76 judges and is organized into civil, criminal, economic, and administrative-labor departments; Constitutional Court (consists of 15 judges including the court president)
judge selection and term of office: Curia president elected from among its members for 9 years by the National Assembly on the recommendation of the president of the republic; other Curia judges appointed by the president upon the recommendation of the National Judicial Council, a separate 15-member administrative body; judge tenure based on interim evaluations until normal retirement age; Constitutional Court judges elected by two-thirds vote of the National Assembly; members serve single renewable 12-year terms with mandatory retirement at age 70
subordinate courts: 5 regional courts of appeal; 19 regional or county courts (including Budapest Metropolitan Court); 20 administrative and labor courts; 111 district or local courts
Political parties and leaders:
Christian Democratic People's Party or KDNP [Zsolt SEMJEN]
Democratic Coalition or DK [Ferenc GYURCSANY]
Dialogue for Hungary or PM [Javor BENEDEK, Timea SZABO]
Fidesz-Hungarian Civic Alliance or Fidesz [Viktor ORBAN]
Hungarian Liberal Party or MLP [Gabor FODOR]
Hungarian Socialist Party or MSZP [Gyula MOLNAR]
Movement for a Better Hungary or Jobbik [Gabor VONA]
Politics Can Be Different or LMP [Bernadett SZEL, Akos HADHAZI]
Together 2014 or Egyutt or E14 [Peter JUHASZ, Viktor SZIGETVARI]
Unity (electoral coalition of MSZP, E14, DK, PM, MLP)
Political pressure groups and leaders:
Civil Osszefogas Forum ("Civil Unity Forum," nominally independent organization that serves as the steering committee for the pro-government mass organization Bekemenet (Peace March), supporting ORBAN government's policies)
Hungarian Civil Liberties Union (Tarsasag a Szabadsagjogokert) or TASZ (freedom of expression, information privacy)
Hungarian Helsinki Committee (asylum seekers' rights, human rights in law enforcement and the judicial system)
MigSzol (Migrant Solidarity Group of Hungary) (independent advocacy group on migration crisis)
MostMi ("Now Us") [Bori TAKACS](Facebook group that was a major participant at anti-government demonstrations in late 2014-early 2015; pro-Europe, anti-establishment movement that blames Fidesz for the state of the country but also blames all established political parties for perceived political and economic failures since the fall of communism)
Okotars (empowerment of civil society in Hungary)
other: Energy Club (Energia Klub)
Greenpeace Hungary (Greenpeace Magyarorszag)
International organization participation:
Australia Group, BIS, CD, CE, CEI, CERN, EAPC, EBRD, ECB, EIB, ESA (cooperating state), EU, FAO, G-9, IAEA, IBRD, ICAO, ICC (national committees), ICCt, ICRM, IDA, IEA, IFAD, IFC, IFRCS, ILO, IMF, IMO, IMSO, Interpol, IOC, IOM, IPU, ISO, ITSO, ITU, ITUC (NGOs), MIGA, MINURSO, NATO, NEA, NSG, OAS (observer), OECD, OIF (observer), OPCW, OSCE, PCA, Schengen Convention, SELEC, UN, UNCTAD, UNESCO, UNFICYP, UNHCR, UNIDO, UNIFIL, UNWTO, UPU, WCO, WFTU (NGOs), WHO, WIPO, WMO, WTO, ZC
Diplomatic representation in the US:
chief of mission: Ambassador Laszlo SZABO (since 8 September 2017)
chancery: 3910 Shoemaker Street NW, Washington, DC 20008
telephone: [1] (202) 362-6730
FAX: [1] (202) 966-8135
consulate(s) general: Los Angeles, New York
consulate(s): Boston
Diplomatic representation from the US:
chief of mission: Ambassador (vacant); Charge d’Affaires David KOSTELANCIK (since 20 January 2017)
embassy: Szabadsag ter 12, H-1054 Budapest
mailing address: pouch: American Embassy Budapest, 5270 Budapest Place, US Department of State, Washington, DC 20521-5270
telephone: [36] (1) 475-4400
FAX: [36] (1) 475-4248
Flag description:
three equal horizontal bands of red (top), white, and green; the flag dates to the national movement of the 18th and 19th centuries, and fuses the medieval colors of the Hungarian coat of arms with the revolutionary tricolor form of the French flag; folklore attributes virtues to the colors: red for strength, white for faithfulness, and green for hope; alternatively, the red is seen as being for the blood spilled in defense of the land, white for freedom, and green for the pasturelands that make up so much of the country
National symbol(s):
Holy Crown of Hungary (Crown of Saint Stephen); national colors: red, white, green
National anthem:
name: "Himnusz" (Hymn)
lyrics/music: Ferenc KOLCSEY/Ferenc ERKEL
note: adopted 1844

Economy

Economy - overview:
Hungary has transitioned from a centrally planned to a market-driven economy with a per capita income nearly two-thirds that of the EU-28 average; however, in recent years the government has become more involved in managing the economy. Budapest has implemented unorthodox economic policies to boost household consumption and has relied on EU-funded development projects to generate growth.
The economy is largely driven by exports, making it vulnerable to external market shocks. Following the fall of communism in 1990, Hungary experienced a drop-off in exports and financial assistance from the former Soviet Union. Hungary embarked on a series of economic reforms, including privatization of state-owned enterprises and reduction of social spending programs, to shift from a centrally planned to a market-driven economy, and to reorient its economy towards trade with the West. These efforts helped to spur growth, attract investment, and reduce Hungary’s debt burden and fiscal deficits. However, living conditions for the average Hungarian initially deteriorated as inflation increased and unemployment reached double digits. Conditions slowly improved over the 1990s as the reforms came to fruition and export growth accelerated. Economic policies instituted during that decade helped position Hungary to join the European Union in 2004; Hungary has yet to join the euro-zone, however. Hungary suffered a historic economic contraction as a result of the global economic slowdown in 2008-09 as export demand and domestic consumption dropped, prompting it to take an IMF-EU financial assistance package.
Since 2010, the government has backpedalled on reforms and taken a more nationalist and populist approach towards economic management. The government has favored national industries, and specifically government-linked businesses, through legislation, regulation, and public procurements. In 2010 and 2012, the government increased taxes on foreign-dominated sectors, such as banking and retail, because the move helped to raise revenues and decrease the budget deficit, thereby allowing Hungary to maintain access to EU development funds. The policy deterred private investment, however. In 2011 and 2014, Hungary nationalized private pension funds. The move squeezed financial service providers out of the system, but it also helped Hungary curb its public debt and lower its budget deficit to below 3% of GDP, as subsequent pension contributions have been channeled into the state-managed pension fund. Hungary’s public debt (at 73.9% of GDP) is still high compared to EU peers in Central Europe. Despite these reversals, real GDP growth has remained robust in the past several years because EU cyclical funding increased, EU demand for Hungarian exports rose, and domestic household consumption rebounded. To further boost household consumption ahead of an anticipated 2018 election, the government has announced plans to increase the minimum wage and public sector salaries, to decrease taxes on foodstuffs and services, to decrease personal income tax from 16% to 15%, as well as to introduce a uniform 9% business tax for both small and medium enterprises and large companies. Real GDP growth slowed in 2016 due to a cyclical fallback in EU funds, but is expected to increase to above 3% in 2017 and 2018.
Systemic economic challenges include long-term and youth unemployment, labor shortages, widespread poverty in rural areas, vulnerabilities to changes in demand for exports, and a heavy reliance on Russian energy imports.
GDP (purchasing power parity):
$270.1 billion (2016 est.)
$261.6 billion (2015 est.)
$250.9 billion (2014 est.)
note: data are in 2016 dollars
country comparison to the world: 61
GDP (official exchange rate):
$124.4 billion (2016 est.)
GDP - real growth rate:
2% (2016 est.)
3.1% (2015 est.)
4% (2014 est.)
country comparison to the world: 137
GDP - per capita (PPP):
$27,500 (2016 est.)
$26,900 (2015 est.)
$26,000 (2014 est.)
note: data are in 2016 dollars
country comparison to the world: 69
Gross national saving:
24.5% of GDP (2016 est.)
25.1% of GDP (2015 est.)
24.9% of GDP (2014 est.)
country comparison to the world: 58
GDP - composition, by end use:
household consumption: 50.4%
government consumption: 20.2%
investment in fixed capital: 17.9%
investment in inventories: 1.1%
exports of goods and services: 92.6%
imports of goods and services: -82.3% (2016 est.)
GDP - composition, by sector of origin:
agriculture: 4.5%
industry: 30.4%
services: 65.1% (2016 est.)
Agriculture - products:
wheat, corn, sunflower seed, potatoes, sugar beets; pigs, cattle, poultry, dairy products
Industries:
mining, metallurgy, construction materials, processed foods, textiles, chemicals (especially pharmaceuticals), motor vehicles
Industrial production growth rate:
-1.8% (2016 est.)
country comparison to the world: 176
Labor force:
4.586 million (2016 est.)
country comparison to the world: 89
Labor force - by occupation:
agriculture: 4.9%
industry: 30.3%
services: 64.5% (2015)
Unemployment rate:
5.1% (2016 est.)
6.8% (2015 est.)
country comparison to the world: 69
Population below poverty line:
14.9% (2015 est.)
Household income or consumption by percentage share:
lowest 10%: 3.3%
highest 10%: 22.4% (2015)
Distribution of family income - Gini index:
28.2 (2015 est.)
28.6 (2014)
country comparison to the world: 133
Budget:
revenues: $56.73 billion
expenditures: $59.03 billion (2016 est.)
Taxes and other revenues:
45.1% of GDP (2016 est.)
country comparison to the world: 22
Budget surplus (+) or deficit (-):
-1.8% of GDP
note: Hungary has been under the EU Excessive Deficit Procedure since it joined the EU in 2004; in March 2012 the EU elevated its Excessive Deficit Procedure against Hungary and proposed freezing 30% of the country's Cohesion Funds because 2011 deficit reductions were not achieved in a sustainable manner; in June 2012, the EU lifted the freeze, recognizing that steps had been taken to reduce the deficit; the Hungarian deficit increased above 3% both in 2013 and in 2014 due to sluggish growth and the government's fiscal tightening (2016 est.)
country comparison to the world: 82
Public debt:
74.1% of GDP (2016 est.)
74.8% of GDP (2015 est.)
note: general government gross debt is defined in the Maastricht Treaty as consolidated general government gross debt at nominal value, outstanding at the end of the year in the following categories of government liabilities: currency and deposits, securities other than shares excluding financial derivatives, and government, state government, local government, and social security funds.
country comparison to the world: 44
Fiscal year:
calendar year
Inflation rate (consumer prices):
0.4% (2016 est.)
-0.1% (2015 est.)
country comparison to the world: 63
Central bank discount rate:
0.9% (31 December 2016)
1.35% (31 December 2015)
country comparison to the world: 129
Commercial bank prime lending rate:
2.09% (31 December 2016 est.)
2.9% (31 December 2015 est.)
country comparison to the world: 176
Stock of narrow money:
$55.64 billion (31 December 2016 est.)
$46.14 billion (31 December 2015 est.)
country comparison to the world: 50
Stock of broad money:
$69.25 billion (31 December 2016 est.)
$64.74 billion (31 December 2015 est.)
country comparison to the world: 61
Stock of domestic credit:
$70.11 billion (31 December 2016 est.)
$69.85 billion (31 December 2015 est.)
country comparison to the world: 60
Market value of publicly traded shares:
$21.59 billion (31 December 2016 est.)
$17.69 billion (31 December 2015 est.)
$14.51 billion (31 December 2014 est.)
country comparison to the world: 64
Current account balance:
$6.797 billion (2016 est.)
$3.986 billion (2015 est.)
country comparison to the world: 25
Exports:
$91.6 billion (2016 est.)
$88.32 billion (2015 est.)
country comparison to the world: 36
Exports - commodities:
machinery and equipment 53.4%, other manufactures 31.2%, food products 8.4%, raw materials 3.4%, fuels and electricity 3.9% (2012 est.)
Exports - partners:
Germany 28.2%, Romania 5.2%, Slovakia 5%, Austria 4.9%, France 4.8%, Italy 4.8%, Czech Republic 4.2%, Poland 4.2% (2016)
Imports:
$85.78 billion (2016 est.)
$83.43 billion (2015 est.)
country comparison to the world: 36
Imports - commodities:
machinery and equipment 45.4%, other manufactures 34.3%, fuels and electricity 12.6%, food products 5.3%, raw materials 2.5% (2012)
Imports - partners:
Germany 26.3%, Austria 6.4%, China 6.3%, Poland 5.5%, Slovakia 5.3%, Netherlands 4.9%, Czech Republic 4.9%, France 4.8%, Italy 4.8% (2016)
Reserves of foreign exchange and gold:
$25.82 billion (31 December 2016 est.)
$33.12 billion (31 December 2015 est.)
country comparison to the world: 52
Debt - external:
$131.3 billion (31 December 2016 est.)
$127.4 billion (31 December 2015 est.)
country comparison to the world: 44
Stock of direct foreign investment - at home:
$298.2 billion (31 December 2016 est.)
$232.3 billion (31 December 2015 est.)
country comparison to the world: 22
Stock of direct foreign investment - abroad:
$222.6 billion (31 December 2016 est.)
$159.8 billion (31 December 2015 est.)
country comparison to the world: 25
Exchange rates:
forints (HUF) per US dollar -
287.7 (2016 est.)
279.33 (2015 est.)
279.33 (2014 est.)
232.6 (2013 est.)
225.1 (2012 est.)

Energy

Electricity access:
electrification - total population: 100% (2016)
Electricity - production:
28.67 billion kWh (2015 est.)
country comparison to the world: 66
Electricity - consumption:
38.66 billion kWh (2015 est.)
country comparison to the world: 58
Electricity - exports:
5.24 billion kWh (2016 est.)
country comparison to the world: 35
Electricity - imports:
17.95 billion kWh (2016 est.)
country comparison to the world: 13
Electricity - installed generating capacity:
8.468 million kW (2015 est.)
country comparison to the world: 68
Electricity - from fossil fuels:
64.5% of total installed capacity (2015 est.)
country comparison to the world: 115
Electricity - from nuclear fuels:
22.3% of total installed capacity (2015 est.)
country comparison to the world: 7
Electricity - from hydroelectric plants:
0.7% of total installed capacity (2015 est.)
country comparison to the world: 148
Electricity - from other renewable sources:
14.1% of total installed capacity (2015 est.)
country comparison to the world: 52
Crude oil - production:
13,830 bbl/day (2016 est.)
country comparison to the world: 77
Crude oil - exports:
1,042 bbl/day (2016 est.)
country comparison to the world: 72
Crude oil - imports:
120,400 bbl/day (2016 est.)
country comparison to the world: 41
Crude oil - proved reserves:
25.1 million bbl (1 January 2017 es)
country comparison to the world: 85
Refined petroleum products - production:
156,100 bbl/day (2016 est.)
country comparison to the world: 58
Refined petroleum products - consumption:
157,200 bbl/day (2016 est.)
country comparison to the world: 67
Refined petroleum products - exports:
50,510 bbl/day (2016 est.)
country comparison to the world: 53
Refined petroleum products - imports:
67,860 bbl/day (2016 est.)
country comparison to the world: 70
Natural gas - production:
1.772 billion cu m (2015 est.)
country comparison to the world: 60
Natural gas - consumption:
17.14 billion cu m (2015 est.)
country comparison to the world: 47
Natural gas - exports:
545 million cu m (2015 est.)
country comparison to the world: 42
Natural gas - imports:
6.79 billion cu m (2015 est.)
country comparison to the world: 31
Natural gas - proved reserves:
7.702 billion cu m (1 January 2017 es)
country comparison to the world: 87
Carbon dioxide emissions from consumption of energy:
44.2 million Mt (2015 est.)
country comparison to the world: 64

Communications

Telephones - fixed lines:
total subscriptions: 3,119,735
subscriptions per 100 inhabitants: 32 (July 2016 est.)
country comparison to the world: 49
Telephones - mobile cellular:
total: 11,779,908
subscriptions per 100 inhabitants: 119 (July 2016 est.)
country comparison to the world: 78
Telephone system:
general assessment: modern telephone system is digital and highly automated; trunk services are carried by fiber-optic cable and digital microwave radio relay
domestic: competition among mobile-cellular service providers has led to a sharp increase in the use of mobile-cellular phones since 2000 and a decrease in the number of fixed-line connections
international: country code - 36; Hungary has fiber-optic cable connections with all neighboring countries; the international switch is in Budapest; satellite earth stations - 2 Intelsat (Atlantic Ocean and Indian Ocean regions), 1 Inmarsat, 1 very small aperture terminal (VSAT) system of ground terminals (2015)
Broadcast media:
mixed system of state-supported public service broadcast media and private broadcasters; the 5 publicly owned TV channels and the 2 main privately owned TV stations are the major national broadcasters; a large number of special interest channels; highly developed market for satellite and cable TV services with about two-thirds of viewers utilizing their services; 4 state-supported public-service radio networks; a large number of local stations including commercial, public service, nonprofit, and community radio stations; digital transition completed at the end of 2013; government-linked businesses have greatly consolidated ownership in broadcast and print media (2016)
Internet country code:
.hu
Internet users:
total: 7,826,695
percent of population: 79.3% (July 2016 est.)
country comparison to the world: 50

Transportation

National air transport system:
number of registered air carriers: 5
inventory of registered aircraft operated by air carriers: 75
annual passenger traffic on registered air carriers: 20,042,185
annual freight traffic on registered air carriers: 0 mt-km (2015)
Civil aircraft registration country code prefix:
HA (2016)
Airports:
41 (2013)
country comparison to the world: 104
Airports - with paved runways:
total: 20
over 3,047 m: 2
2,438 to 3,047 m: 6
1,524 to 2,437 m: 6
914 to 1,523 m: 5
under 914 m: 1 (2017)
Airports - with unpaved runways:
total: 21
1,524 to 2,437 m: 2
914 to 1,523 m: 8
under 914 m: 11 (2013)
Heliports:
3 (2013)
Pipelines:
gas (high-pressure transmission system) 5,873 km; gas (low-pressure distribution network) 83,619 km (2015); oil 850 km; refined products 1,200 km (2016)
Railways:
total: 8,049 km
broad gauge: 36 km 1.524-m gauge
standard gauge: 7,794 km 1.435-m gauge (2,889 km electrified)
narrow gauge: 219 km 0.760-m gauge (2014)
country comparison to the world: 28
Roadways:
total: 203,601 km
paved: 77,087 km (includes 1,582 km of expressways)
unpaved: 126,514 km (2014)
country comparison to the world: 26
Waterways:
1,622 km (most on Danube River) (2011)
country comparison to the world: 47
Ports and terminals:
river port(s): Baja, Csepel (Budapest), Dunaujvaros, Gyor-Gonyu, Mohacs (Danube)

Military & Security

Military expenditures:
1.01% of GDP (2016)
0.93% of GDP (2015)
0.87% of GDP (2014)
0.95% of GDP (2013)
1.04% of GDP (2012)
country comparison to the world: 113
Military branches:
Hungarian Defense Forces: Land Forces, Hungarian Air Force (Magyar Legiero, ML) (2011)
Military service age and obligation:
18-25 years of age for voluntary military service; no conscription; 6-month service obligation (2012)

Transnational Issues

Disputes - international:
bilateral government, legal, technical and economic working group negotiations continue in 2006 with Slovakia over Hungary's failure to complete its portion of the Gabcikovo-Nagymaros hydroelectric dam project along the Danube; as a member state that forms part of the EU's external border, Hungary has implemented the strict Schengen border rules
Refugees and internally displaced persons:
refugees (countries of origin): 5,950 applicants for forms of legal stay other than asylum (Ukraine) (2015)
stateless persons: 135 (2016)
note: 432,282 estimated refugee and migrant arrivals (January 2015 - November 2017); Hungary is predominantly a transit country and hosts fewer than 600 migrants and asylum seekers as of September 2017
Illicit drugs:
transshipment point for Southwest Asian heroin and cannabis and for South American cocaine destined for Western Europe; limited producer of precursor chemicals, particularly for amphetamine and methamphetamine; efforts to counter money laundering, related to organized crime and drug trafficking are improving but remain vulnerable; significant consumer of ecstasy

Economic Indicators for Hungary including actual values, historical data, and latest data updates for the Hungary economy.



Latest Data Updates