NGM: 2025 is the year of breakthrough, catching up will not be stopped

By: Trademagazin Date: 2025. 03. 27. 11:45

According to Eurostat data published on Thursday, in 2024, Hungary’s GDP per capita measured at purchasing power parity was 77 percent of the EU average, ahead of Slovakia, Latvia, Greece and Bulgaria. The Ministry of National Economy (NGM) expects that the value of the indicator may change during the planned revisions, as has been observed several times in previous years – the ministry pointed out in a statement sent to MTI.

According to the NGM’s assessment, since 2010, Hungary has come closer to the level of development of the EU-27 by more than 11 percentage points, this is the 10th fastest catch-up among EU member states.

According to the current ranking, according to the data released, Croatia is on the same level as Hungary, and Romania is ahead of it.

In this regard, the NGM highlighted: Croatia introduced the euro in 2023, the essentially one-time and significant impact of this can be seen in the development data, and in the case of Romania, it can be stated that the economy has overheated, and growth is based on unsustainable foundations.

The Romanian budget deficit was 8.7 percent in 2024, and in 2025 it is planned to be 7 percent. The current account deficit reached 8.3 percent of GDP in 2024, and consequently, the twin deficit in Romania since 2010 deepened further in terms of both factors last year.

They also referred to the fact that Moody’s downgraded the country’s outlook to negative in March and S&P in January, and Fitch Ratings warned on March 25 that political uncertainty and postponed consolidation steps could further worsen Romania’s fiscal outlook.

The Ministry of National Economy wrote: “2025 is the year of breakthrough in Hungary!” The economy is shifting to a dynamic growth path, and GDP may grow by over 3 percent in the second half of the year. This year, significant mega-investments such as CATL, BYD, and BMW will be involved in the performance of the national economy. All this also means that the catch-up in development may continue in 2025.