ING economists warn temporary pre-election factors mask underlying weakness, with consumption driving modest expansion.
Hungary’s economy is projected to grow 1.5% in 2026, according to ING economists, as temporary pre-election factors fade and structural challenges persist. Consumption remains the primary driver, while investment and net exports weigh on overall expansion.
The outlook reflects lingering effects of the energy price shock and geopolitical uncertainties, which may limit export growth. Public investment delays and supply chain disruptions further cloud the short-term recovery, though a rebound is expected later in the year.
Recent GDP data showed a first-quarter pickup, but economists caution this strength may not be sustainable. The sustainability of consumption growth hinges on the duration of post-election economic policies.