In 1st quarter 2024, economic performance 1.7% higher according to seasonally and calendar adjusted and reconciled data than in same period of previous year and rises by 0.8% compared to previous quarter
The volume of Hungary’s gross domestic product was 1.1% higher according to raw data and 1.7% higher according to seasonally and calendar adjusted and reconciled data in the 1st quarter of 2024 than in the corresponding period of the previous year. Compared to the previous quarter, the economic performance grew by 0.8% according to seasonally and calendar adjusted and reconciled data.
In 1st quarter 2024:
The volume of GDP was 1.1% higher according to raw data and 1.7% higher according to seasonally and calendar adjusted and reconciled data than in the corresponding period of the previous year. The volume indices published in the second estimate were unchanged compared to the flash estimate.
Production approach:
Industry reduced its performance by 4.2%, within which manufacturing by 4.8% compared to the same period of the previous year. Among manufacturing branches, the largest contributors to the decrease were the manufacture of electrical equipment and the manufacture of motor vehicles, trailers and semi-trailers, while the manufacture of food products, beverages and tobacco products slowed the fall in industry the most. The value added of construction was 3.0% higher and that of agriculture 0.4% higher than in the corresponding period of the previous year.
Volume indices of production of gross domestic product (GDP)
(corresponding period of previous year = 100.0%)
| NACE | Industries | 2023 | 2024 | |||
|---|---|---|---|---|---|---|
| quarter | ||||||
| I | II | III | IV | I | ||
| A | Agriculture, forestry and fishing | 127.2 | 166.5 | 188.4 | 180.9 | 100.4 |
| B–E | Manufacturing, mining and quarrying and other industry | 97.3 | 94.2 | 94.8 | 93.7 | 95.8 |
| C | Of which: manufacturing | 98.9 | 95.7 | 96.0 | 93.7 | 95.2 |
| F | Construction | 92.4 | 93.8 | 98.4 | 92.6 | 103.0 |
| G–T | Services, total, of which: | 100.6 | 97.5 | 97.2 | 99.1 | 102.7 |
| G | Wholesale and retail trade | 94.5 | 88.2 | 88.1 | 91.3 | 97.0 |
| H | Transportation and storage | 95.5 | 94.2 | 92.4 | 95.6 | 104.2 |
| I | Accommodation and food service activities | 102.2 | 90.2 | 100.8 | 103.6 | 105.2 |
| J | Information and communication | 102.4 | 98.9 | 102.4 | 105.2 | 109.8 |
| K | Financial and insurance activities | 102.2 | 100.2 | 98.8 | 100.6 | 101.3 |
| L | Real estate activities | 101.6 | 100.4 | 99.8 | 102.6 | 105.0 |
| M–N | Professional, scientific, technical and administrative activities | 101.1 | 97.1 | 94.0 | 95.5 | 102.7 |
| O | Public administration, defence and compulsory social security | 98.8 | 98.9 | 98.1 | 98.5 | 99.7 |
| P | Education | 102.7 | 98.0 | 100.4 | 102.1 | 106.6 |
| Q | Human health and social work activities | 109.1 | 109.9 | 108.9 | 108.5 | 100.4 |
| R–T | Arts, entertainment, recreation and other service activities | 101.1 | 98.6 | 99.2 | 104.0 | 107.3 |
| GDP, total (at purchasers’ prices) | 99.1 | 97.6 | 99.6 | 100.0 | 101.1 | |
The gross value added of services increased by 2.7% in total. The highest increase (9.8%) occurred in information and communication. The value added of arts, recreation and other service activities was up by 7.3%, that of education by 6.6% and the value added of accommodation and food service activities by 5.2%. The value added of real estate activities grew by 5.0% and that of transportation and storage by 4.2%. The value added of professional, scientific, technical and administrative activities rose by 2.7%, that of financial and insurance activities by 1.3% and the value added of human health and social work activities by 0.4%. The performance of public administration diminished by 0.3% and that of wholesale and retail trade by 3.0%.
Positive contributors to the 1.1% increase in gross domestic product in the 1st quarter of 2024 were services (1.7 percentage points), the balance of taxes and subsidies on products (0.2 percentage point) and construction (0.1 percentage point). Agriculture did not affect the performance of the economy significantly, while industry lowered it by 0.9 percentage point. Within services, it was real estate activities that contributed the most (by 0.5 percentage point) to the growth of GDP.
Expenditure approach:
The actual final consumption of households increased by 3.4% compared to the same period of the previous year. Household final consumption expenditure, representing the largest proportion of the components of the actual final consumption of households, rose by 3.6%. The (domestic) consumption expenditure of households realised on the territory of Hungary became 2.8% higher. The volume of domestic consumption expenditure grew in all durability groups except semi-durable groups, by 4.4%, 2.4% and 1.8% in the case of non-durable goods, services and durable goods, respectively, and decreased by 0.4% for semi-durable goods.
The volume of social transfers in kind from the government went up by 1.4%, while that of the actual final consumption of the government diminished by 2.7%. The volume of social transfers in kind from non-profit institutions serving households (NPISHs) became 10.1% larger.
As a result of the above trends, actual final consumption increased by 2.4%.
Gross fixed capital formation was down by 6.9% in the 1st quarter compared to the corresponding period of the previous year. Both the volume of investments in construction and that in machinery and equipment fell. Out of the industries with the highest share of investments, the volume of developments decreased in manufacturing, in real estate activities and in transportation and storage as well.
Gross capital formation fell by 21.8% compared to the same period of the previous year.
As a result of the trends of consumption and of capital formation, domestic use as a whole became 2.9% lower in the 1st quarter.
Volume indices of final use of gross domestic product (GDP)
(corresponding period of previous year = 100.0%)
| Items of use | 2023 | 2024 | |||
|---|---|---|---|---|---|
| quarter | |||||
| I | II | III | IV | I | |
| Household final consumption expenditure | 96.5 | 96.6 | 97.7 | 100.3 | 103.6 |
| Social transfers in kind from government | 100.2 | 106.2 | 106.3 | 105.5 | 101.4 |
| Social transfers in kind from NPISHs | 97.2 | 98.4 | 106.5 | 108.8 | 110.1 |
| Actual final consumption of households | 97.0 | 98.1 | 99.3 | 101.4 | 103.4 |
| Actual final consumption of government | 94.8 | 100.8 | 104.4 | 94.9 | 97.3 |
| Actual final consumption, total | 96.7 | 98.5 | 100.1 | 100.3 | 102.4 |
| Gross fixed capital formation | 96.4 | 89.3 | 89.3 | 97.2 | 93.1 |
| Changes in inventoriesa) | x | x | x | x | x |
| Acquisitions less disposals of valuablesa) | x | x | x | x | x |
| Gross capital formation, total | 94.1 | 77.5 | 84.7 | 86.8 | 78.2 |
| Domestic use, total | 95.2 | 91.6 | 95.0 | 95.9 | 97.1 |
| Exports, of which: | 107.9 | 102.1 | 98.2 | 95.9 | 94.7 |
| Exports of goods | 108.1 | 103.3 | 97.0 | 95.8 | 93.8 |
| Exports of services | 106.3 | 97.5 | 103.3 | 96.3 | 99.2 |
| Imports, of which: | 103.2 | 95.3 | 93.2 | 91.6 | 90.8 |
| Imports of goods | 102.6 | 95.3 | 92.0 | 91.6 | 89.2 |
| Imports of services | 104.7 | 95.1 | 101.0 | 92.7 | 101.5 |
| External balance of goods and servicesa) | x | x | x | x | x |
| Gross domestic product (GDP), total | 99.1 | 97.6 | 99.6 | 100.0 | 101.1 |
a) For these items, the volume index is not applicable.
In the external trade of the economy, a surplus of 1,331 billion forints was generated at current prices. The volume of imports went down at a higher rate (9.2%) than that of exports (5.3%). In trade in goods, accounting for 80% of external trade, imports dropped by 10.8% along with a 6.2% decrease in exports. Within the external trade of the economy, the exports of services (including tourism) lessened by 0.8%, while their imports grew by 1.5% compared to the same period of the previous year.
Actual final consumption contributed by 1.8 percentage points to the 1.1% increase in gross domestic product in the 1st quarter of 2024, while gross capital formation slowed it by 3.7 percentage points. The balance of external trade as a whole raised the economic performance by 3.1 percentage points.
In 1st quarter 2024 compared to previous quarter, according to seasonally and calendar adjusted and reconciled data:
The performance of the economy grew by 0.8%.
From the production approach, the performance went up by 1.7% in services and by 1.1% in construction. The performance of industry decreased by 0.1% and that of agriculture by 10.2%.
From the expenditure approach, the volume of household final consumption expenditure stagnated, while that of social transfers in kind from the government rose by 0.4% and the volume of the actual final consumption of the government by 0.9% out of the components of actual final consumption. Gross fixed capital formation declined by 1.9%. In external trade, the volumes of exports and imports as a whole decreased (by 0.2% and 1.1%, respectively).