Shocking twist: China’s state-owned media reports on Hungary’s economic struggles!
Living in Hungary as a foreigner can be both exciting and challenging. Alongside the historic cities, vibrant cultural life and welcoming communities, it is also important to be aware of the economic reality that awaits those residing here. The country’s living environment has changed significantly in recent years, particularly in terms of inflation, food prices and purchasing power. Recently, a Chinese state broadcaster, CGTN, produced a surprisingly critical report on the economic situation in Hungary.
When a Chinese state television station highlights the difficulties facing the Hungarian economy, that in itself warrants attention—especially given that the current Hungarian leadership maintains a very good relationship with Beijing, and that CGTN is controlled by the Chinese Communist Party.
This is not the type of media that typically criticises its own decision-makers or allied governments, which makes it particularly striking that a relatively sharply worded report on the difficulties of everyday life in Hungary has been released. What was said in the report was not just for Chinese audiences—it may also present a realistic picture for foreigners living in Hungary who are trying to navigate the country’s economic landscape.
The perspective of families: rising prices everywhere
One of the central voices in the report is a Hungarian mother of three, whose words are simple but powerful: in just two years, her monthly food spending has doubled. This is a reality shared by many families across Hungary today. Increasingly, people are forced to count every single forint before heading to the shops. The price of basic foodstuffs has risen so dramatically that not only luxury items but also everyday necessities have become unaffordable for many.
The report reveals that Hungary currently has one of the highest inflation rates in the European Union, standing at 5.7%. The surge in food prices is even more dramatic, with the cost of basic goods increasing by around 80% over the past two years. This impacts not only low-income families but also the middle class. Fewer and fewer people can afford the standard of living they once took for granted.
Inflation or stagnation?
Former central bank governor and respected economist Ákos Péter Bod also highlighted in the report that Hungary faces a dual economic challenge: not only is inflation high, but economic growth is virtually stagnant. This is a particularly dangerous combination. When prices continue to rise while the economy fails to expand, people’s purchasing power is severely diminished, and their outlook becomes increasingly bleak.
The report further notes that the Hungarian government’s price freeze measures—originally introduced to curb inflation—have not had the intended effect. According to 444.hu, critics argue that these interventions not only fail to solve the underlying problem, but also create new issues. One such consequence is a reduction in supply, leading to shortages on shop shelves, particularly in smaller stores. In addition, small businesses are also burdened by these restrictions, which could threaten their long-term viability.
The closing line of the Chinese report is apt and telling: “As food prices rise, many Hungarian families are asking: how much longer can they afford it?” This question is not merely rhetorical—it is part of daily reality. With an uncertain economic environment and ineffective government responses, many people feel their future has become unpredictable.
If you are a foreigner living in Hungary or planning to move here, it is essential to be aware of these circumstances. In many ways, life here remains safe and culturally enriching, but everyday costs and economic uncertainty are becoming increasingly challenging. Housing, food and energy bills are in many places approaching Western European levels, while salaries often fail to keep pace.
Stay informed—find more news on Hungary’s economic situation HERE.
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