After the severe drought, Kopint-Tárki revised its growth forecast downwards.
The Hungarian economy's GDP growth forecast has been revised down to 1.8% for this year, a decrease of two percentage points from previous estimates. The report highlights that strong investment growth is unlikely, with agricultural setbacks impacting overall performance despite growth in services and industry. Private consumption remains robust due to rising real wages, but investment has sharply declined. The projected budget deficit is lower at 6.8%, influenced by EU fund releases. The government faces challenges in reducing the deficit while fulfilling election promises, requiring creative budgetary measures. Inflation is expected to be lower than anticipated, with food prices decreasing significantly.