EBRD raises Hungary GDP growth forecast

The European Bank for Reconstruction and Development (EBRD) raised its forecast for Hungary’s GDP growth this year to 4.6 percent in a biannual report published on Wednesday.

The forecast was raised from 3.7 percent in a release in May.

The government’s official projection for GDP growth this year is 4.0 percent, but Finance Minister Mihály Varga said earlier that higher-than-expected first-half growth of 5.1 percent could lift full-year growth to 4.3-4.4 percent.

The EBRD sees Hungary’s economic growth slowing to 3.1 percent in 2020, albeit a 0.2-percentage-point improvement over the forecast in the May economic outlook.