Jump in GDP growth in Q3

Hungarian GDP grew by 1.7% in the th131115_GDP_EN_2ird quarter of 2013 compared to the same period of the previous year – a growth rate above 1% for the first time since 2011. This unexpected jump in the pace of growth was a result of a quarter-on-quarter growth of 0.8%, a drastic rate of expansion compared to 2012 and much of 2011. The seasonally adjusted volume of quarterly GDP came close to 95% of the level in the first quarter of 2008, a level not seen since 2011.131115_GDP_EN

The acceleration of year-on-year growth itself was not unexpected: the industrial and external trade data had confirmed an improvement of industrial growth, mostly due to a year-on-year upturn in exports. But the extent of acceleration is somewhat surprising, considering that there was arguably no discernible improvement in services, a component with a weight of more than 50% in GDP.

In light of the new data, we expect a GDP growth of about 1% in 2013 as a whole.