Economic performance increases by 4.0% in 3rd quarter
The volume of gross domestic product increased by 4.0% in Hungary in the 3rd quarter of 2022 compared to the corresponding period of the previous year. According to seasonally and calendar adjusted and reconciled data, the performance of the economy rose by 4.1% compared to the corresponding period of the previous year and decreased by 0.4% compared to the previous quarter. The performance of the economy – both raw and seasonally and calendar adjusted and reconciled data – was 6.1% higher in quarters 1-3 of 2022 than in the same period of the previous year.
In 3rd quarter 2022:
The volume of GDP rose by 4.0% compared to the corresponding period of the previous year. The raw volume index in the second estimate was unchanged compared with the 3rd-quarter figure issued in the flash estimate.
Production approach:
Industry increased its performance by 9.6%, within which manufacturing by 10.6% compared to the same period of the previous year. Among manufacturing branches, the largest contributors to the growth of industry were increases in the manufacture of motor vehicles, trailers and semi-trailers and that of electrical equipment. The value added of construction went up by 1.8%, while that of agriculture – owing to the severe drought in summer – decreased by 39.3% compared to 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 | 2021 | 2022 | |||
|---|---|---|---|---|---|---|
| quarter(s) | ||||||
| III | IV | I | II | III | ||
| A | Agriculture, forestry and fishing | 97.4 | 94.9 | 95.6 | 64.4 | 60.7 |
| B–E | Manufacturing, mining and quarrying and other industry | 99.2 | 99.7 | 105.0 | 103.9 | 109.6 |
| C | Of which: manufacturing | 101.3 | 101.5 | 104.4 | 104.9 | 110.6 |
| F | Construction | 113.6 | 115.8 | 116.9 | 100.4 | 101.8 |
| G–T | Services, total, of which: | 109.4 | 110.8 | 110.4 | 110.5 | 105.6 |
| G | Wholesale and retail trade | 106.1 | 105.8 | 108.2 | 108.6 | 105.2 |
| H | Transportation and storage | 106.1 | 115.4 | 121.2 | 120.4 | 111.5 |
| I | Accommodation and food service activities | 152.1 | 200.2 | 175.3 | 147.9 | 106.4 |
| J | Information and communication | 124.9 | 123.3 | 112.8 | 113.1 | 105.4 |
| K | Financial and insurance activities | 111.8 | 112.6 | 106.3 | 106.4 | 105.3 |
| L | Real estate activities | 106.5 | 106.4 | 105.5 | 106.1 | 104.1 |
| M–N | Professional, scientific, technical and administrative activities | 117.6 | 118.8 | 113.6 | 113.6 | 110.6 |
| O | Public administration, defence and compulsory social security | 100.8 | 101.2 | 101.4 | 100.8 | 99.8 |
| P | Education | 97.1 | 100.0 | 101.1 | 105.1 | 102.8 |
| Q | Human health and social work activities | 97.9 | 101.0 | 110.8 | 113.1 | 106.9 |
| R–T | Arts, entertainment, recreation and other services | 115.5 | 119.5 | 114.7 | 120.1 | 104.1 |
| GDP, total (at purchasers’ prices) | 106.2 | 107.4 | 108.2 | 106.5 | 104.0 | |
The gross value added of services became 5.6% higher in total. The most marked increases occurred in the industries of transportation and storage (11.5%) as well as professional, scientific, technical and administrative activities (10.6%). The value added of accommodation and food service activities increased by 6.4%, and that of information and communication by 5.4%. The performance of financial and insurance activities grew by 5.3%. The performance of wholesale and retail trade rose by 5.2% compared to the same period of the previous year. The value added of arts, entertainment, recreation and other services, as well as real estate activities grew by 4.1%. The value added of human health and social work activities rose by 6.9% and that of education by 2.8%. The value added of public administration went down by 0.2%.
Services contributed by 3.4, industry by 1.7 percentage points and construction by 0.1 percentage points to the 4.0% growth of gross domestic product in the 3rd quarter of 2022. Within services, GDP was increased the most by professional, scientific, technical and administrative activities (0.9 percentage points), and by transportation and storage (0.7 percentage points). The decrease in the performance of agriculture slowed the growth by 1.8 percentage points.
Expenditure approach:
The actual final consumption of households rose by 4.2% 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, increased by 4.1%. The (domestic) consumption expenditure of households realised on the territory of Hungary became 4.4% higher than a year earlier. The volume of domestic consumption expenditure grew in every durability group, that of semi-durable goods by 7.0%, the volume of services and durable goods by 5.7%, and the volume of non-durable ones by 1.9%.
The volume of social transfers in kind from the government became 5.0% higher, thus that of the actual final consumption of the government 0.5% lower. The volume of social transfers in kind from non-profit institutions serving households (NPISHs) rose by 3.8%.
As a result of the above trends, actual final consumption increased by 3.5%.
Gross fixed capital formation grew by 4.1% in the 3rd quarter compared to the corresponding period of the previous year. The volume of investments in construction went up to a higher extent than that of investments in machinery and equipment. Out of the industries with the highest share of investments, the volume of developments henceforward significantly rose in manufacturing as well as in real estate activities and fell in the area of transportation and storage.
Gross capital formation became 3.4% lower than one year earlier.
As a result of the trends of consumption and capital formation, domestic use as a whole grew by 1.4% in the 3rd quarter.
Volume indices of final use of gross domestic product (GDP)
(corresponding period of previous year = 100.0%)
| Items of use | 2021 | 2022 | |||
|---|---|---|---|---|---|
| quarter | |||||
| III | IV | I | II | III | |
| Household final consumption expenditure | 107.2 | 108.3 | 112.6 | 109.8 | 104.1 |
| Social transfers in kind from government | 98.3 | 100.1 | 103.9 | 107.2 | 105.0 |
| Social transfers in kind from NPISHs | 100.1 | 102.4 | 97.9 | 105.6 | 103.8 |
| Actual final consumption of households | 105.5 | 106.7 | 110.6 | 109.2 | 104.2 |
| Actual final consumption of government | 107.1 | 95.8 | 105.4 | 99.8 | 99.5 |
| Actual final consumption, total | 105.8 | 104.6 | 109.7 | 107.7 | 103.5 |
| Gross fixed capital formation | 111.8 | 100.2 | 110.6 | 106.2 | 104.1 |
| Changes in inventoriesa) | x | x | x | x | x |
| Acquisitions less disposals of valuablesa) | x | x | x | x | x |
| Gross capital formation, total | 119.8 | 113.2 | 120.3 | 102.1 | 96.6 |
| Domestic use, total | 110.1 | 107.1 | 111.7 | 106.0 | 101.4 |
| Exports, of which: | 102.8 | 102.6 | 105.1 | 107.6 | 114.1 |
| Exports of goods | 99.9 | 99.3 | 102.0 | 104.4 | 113.7 |
| Exports of services | 115.6 | 118.5 | 122.4 | 123.1 | 116.4 |
| Imports, of which: | 107.7 | 102.1 | 108.4 | 107.0 | 110.6 |
| Imports of goods | 106.1 | 100.0 | 107.2 | 104.1 | 109.4 |
| Imports of services | 116.8 | 114.4 | 115.6 | 126.4 | 118.0 |
| External balance of goods and servicesa) | x | x | x | x | x |
| Gross domestic product (GDP), total | 106.2 | 107.4 | 108.2 | 106.5 | 104.0 |
a) For these items the volume index is not applicable.
In the external trade of the economy a deficit of 999 billion forints was generated at current prices. The volume of exports went up at a higher rate (14.1%) than that of imports (10.6%). In trade in goods, accounting for some 85% of external trade, exports of goods became 13.7 and that of imports 9.4% higher than a year earlier. Within the external trade of the economy, the exports of services (including tourism) increased by 16.4% and their imports by 18.0% compared to the same period of the previous year.
Actual final consumption contributed by 2.3 percentage points to the 4.0% increase of gross domestic product in the 3rd quarter of 2022. Gross capital formation lessened that by 0.8 percentage point. The balance of external trade as a whole increased the economic performance by 2.5 percentage points.
In 3rd quarter 2022 compared to previous quarter, according to seasonally and calendar adjusted and reconciled data:
The performance of the economy decreased by 0.4%.
From the production approach, value added was up by 2.9% in industry and by 0.1% in construction and was down by 5.2% in agriculture and by 0.7% in services.
From the expenditure approach, the volume of household final consumption expenditure rose by 0.5%, that of social transfers in kind from the government by 0.7% and the volume of the actual final consumption of the government by 0.6% out of the components of actual final consumption. Gross fixed capital formation increased by 0.6%. In external trade, the volume of exports grew by 4.6% and that of imports by 4.0%.