The population’s solvency improved slightly in the first quarter

By: Trademagazin Date: 2023. 05. 01. 10:21

The population’s ability to pay has improved slightly compared to the last quarter of 2022, but we still see an 86 percent drop year-on-year. The latest solvency data predicts a recession, growth may recover in the third quarter at the earliest.

In the first quarter of 2023, the negative trend regarding the solvency of the Hungarian population stopped, and the Intrum Solvency Index (IFI), which measures the financial situation of households, improved slightly between January and April. The measure indicating the solvency of families is calculated every quarter on the basis of data from Intrum and GKI based on factors such as employment, income or price increases.

Calculating the average of the first three months, the solvency index stood at 6.51 points in the first quarter. This is higher than the index of the last quarter of last year (2.23), but it is still far behind the previous months. Compared to the same period of the previous year, the solvency of the population decreased by more than 85 percent. The last time the financial situation of the population was similar was at the beginning of 2014, between 2014 and the end of last year, the solvency was continuously higher.