In 2024, Hungary showed a positive trend in economic growth, exceeding expectations.
Gross Domestic Product. According to the KSH, the Central Statistical Office of Hungary, last year’s decrease in GDP was followed by an increase in the first quarter of 2024. The figures were higher than anticipated, reaching 1.1%, or 1.7% on a year-on-year basis.
The fastest-growing industries include services, with a total increase of 2.7%, and information and communications, which experienced a 9.8% rise.
Value-added dynamics across different industries, Q1 2024
| Industry | Value-added change, year-on-year basis |
| Information and communications | +9.8% |
| Arts, recreation and other services | +7.3% |
| Education | +6.6% |
| Accommodation and food services | +5.2% |
| Real estate | +5.0% |
| Transportation and storage | +4.2% |
| Construction | +3% |
| Services | +2.7% |
| Production industry | -4.8% |
| Wholesale and retail trade | -3.0% |
Inflation. After 14 months of decline, inflation in Hungary increased in Q1 2024. In March, the inflation rate reached 3.6%. By April, the consumer price index was 3.7% higher than in April 2023.
In March 2024, the price change for major categories were as follows:
- foods: +1.0%;
- household energy: -4.5%;
- gas: -9.2%;
- electricity: -2.9%;
- consumer durable products: -1.7%;
- vehicle fuels: +3.5%.
External trade. Generally, exports and imports decreased by 0.2% and 1.1%, respectively. On an annualised basis, the drop was 15% for exports and 20% for imports.
In March, Hungary recorded a trade surplus of €1.5 billion, indicating that the country exported more goods than it imported.
Real estate market. Real estate prices in Hungary show stable growth due to increasing demand from both local and foreign buyers. The average real estate price per square metre for second-hand properties near Budapest increased by 10.2% compared to previous six months, reaching €1,287.
Prospects of economic development. Global organisations provide a positive future outlook for the Hungarian economy, expecting it to return to growth in 2024—2025. For instance, the International Monetary Fund forecast a 3.3% growth for 2025, which is among the fastest in the EU. Moody’s also acknowledges a strong growth outlook for the Hungarian economy.
The Hungary Golden Visa program aims to attract foreign direct investments that will further stimulate the Hungarian economy. According to recent updates, at the program’s inception, investors will have two options: purchasing real estate fund units for €250,000 or making a non-refundable donation of €1,000,000.
Starting January 1st, 2025, the real estate purchase option will become available, with a minimum investment threshold of €500,000.
Investors and their families will be granted 10-year residence permits, which are subject to extension for the same period. Golden Visa holders will not be required to relocate to Hungary to maintain their status.
