Retail investments increased in 2008

The annual value of investments came to HUF 4791.5 billion at current prices. Within this HUF 1835.2 billion were spent on investments in the fourth quarter of 2008.

According to Hungarian Central Statistical Office in the
fourth quarter of 2008 the volume of investments of the national
economy dropped by 3.2% compared to the same period of the previous
year, while it grew by 0.1% in comparison with the previous three
months – according to seasonally adjusted volume indices.

In 2008 the volume of construction
investments fell by 6.8%, while that of machinery and equipment
investments rose by 2.7%. In 2008 within the 3% decrease of
investments of the national economy investments in transport, storage
and communication decreased by 6%, consistent with the decline of
motorway and other road constructions observed in the first quarter
of 2008. The high base in the first quarter of 2007 contributed to
this decrease too. Investments of manufacturing fell by 3.6%. Within
manufacturing the highest decreases compared to the previous year
were observed in the manufacture of rubber products, of food
products, beverages and tobacco and of transport equipment.
Investments in real estate, renting and business activities – which
were the principal component of investments and included dwelling
constructions – declined by 1.5%.

Among the sections representing medium
and little weights in the national economy the most substantial falls were observed in
mining and quarrying (47.6%), public administration, defence and compulsory social security (28.1%),
other community, social and personal service activities (15.7%) and
education (13.8%).

In agriculture investments – to the
contrary of the previous tendency – increased by 24.4%. The volume of investments grew by 7.3% in
wholesale and retail trade and repairs, mainly due to investments of
big chain stores. The increase of 10.9% in the section of hotels and
restaurants resulted from the reconstruction and extension of smaller
hotel buildings.

In the fourth quarter of 2008 within
the 3.2% decrease of investments machinery and equipment investments fell by 5.8%, while
construction investments dropped by 0.9% compared to the corresponding period of the previous
year. Among the sections representing greater weights decreases of
about 2% were observed in investments in real estate, renting and
business activities (2.4%), in manufacturing (2.1%) and in transport,
storage and communication (1.9%). Among the sections having medium
and little weights the most considerable falls were recorded in
public administration, defence and compulsory social security (25%),
education (12.9%), health and social work (9.6%) and other community,
social and personal service activities (7.6%). The volume of
investments in agriculture rose by 21.7% due to the growing share of
supports facilitating the investments.