Hungary Q1 GDP Growth Strongest Since 2022

Hungary’s gross domestic product expanded by 1.7% year-on-year in the first quarter of 2026, following a 0.8% growth in the previous three-month period, according to preliminary estimates. This marked the fastest growth since the third quarter of 2022, driven largely by strong performance in the services sector, particularly in professional, scientific, technical, and administrative activities. In addition, the industrial sector contributed positively to overall economic growth. On a seasonally adjusted quarterly basis, GDP grew by 0.8% in Q1 2026, up from a 0.2% increase in the preceding quarter.

Hungary’s economy grew by 0.8% year-on-year in the final quarter of 2025, exceeding both the preliminary estimates and the previous quarter’s upwardly revised 0.7% expansion. The latest figure also marked the strongest growth since the second quarter of 2024, mainly driven by strong performances in the construction (5.1% vs 3.3% in Q3) and services sector (1% vs 1.7%). Output in services particularly increased for financial and insurance activities (5.9% vs 5.3%) and arts, entertainment, leisure, and other services (4.6% vs -0.1%). On the expenditure side, household consumption, the largest component of actual consumption, continued to increase (2.7% vs 2.3%), while gross fixed capital formation (-1% vs -2.1%) declined less. On a seasonally adjusted quarterly basis, the economy advanced by 0.2% in the fourth quarter, after showing no growth in preceding period. In 2025, the GDP exceeded the previous year by 0.4% in raw terms and 0.3% on a seasonally and calendar-adjusted basis.

Hungary’s gross domestic product grew by 0.7% year-on-year in the fourth quarter of 2025, slightly below market forecasts of a 0.8% expansion but higher than the 0.6% growth in the previous three-month period, preliminary estimates showed. The latest figure also marked the fastest growth since the second quarter of 2024, mainly driven by the combined performances in the services sector, particularly financial, insurance, and trade, as well as the construction industry. However, a slump in industry weighed most on overall growth, with industrial output shrinking almost every month over the past three years, except for a brief expansion in February 2024. On a seasonally adjusted quarterly basis, the economy expanded by 0.2% in Q4 2025, after showing no growth in the prior period. For the whole year of 2025, the economy grew a modest 0.4%, down from 0.5% in the previous year.