Inflation Remains Steady in July, Economic Outlook is Positive

In July 2024, the inflation was 4.1 percent annually, matching market expectations and remaining low, according to the Hungarian Central Statistical Office. Consumer prices rose slightly by 0.7 percent compared to June, with food prices up by 0.6 pe

By: hungarytoday.hu

Aug 08 2024
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Inflation Remains Steady in Ju

In July 2024, the inflation was 4.1 percent annually, matching market expectations and remaining low, according to the Hungarian Central Statistical Office.

Consumer prices rose slightly by 0.7 percent compared to June, with food prices up by 0.6 percentage points. Household energy prices decreased by 4.5 percent year-on-year.

Consumer price index by main groups in June 2024. (Clockwise: groceries, alcoholic drinks & tobacco, clothing, consumer durables, household energy, fuels, services). Source: ksh.hu

Minister for National Economy Márton Nagy attributed the stable inflation to effective government policies and the online price monitoring system, which enhances price transparency and promotes retail competition.

This system, along with rising real wages and increased consumer confidence, has positively impacted domestic consumption and economic growth.

The Minister highlighted that low inflation benefits both families and businesses, contributing to a recovery in domestic consumption and six months of continuous retail sales growth. Tourism also saw an 8% increase in the first half of the year compared to last year. The rise in real earnings is expected to support further consumption growth and boost economic activity in the coming months, as domestic demand is anticipated to increase.

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