Einar H. Dyvik
Research expert covering Nordics and global data for society, economy, and politics
Economy of Hungary - statistics & facts
Fidesz-KDNP, the Hungarian governing party, was elected amidst a difficult economic situation following the 2008 crisis when significant actions were needed to control government finances. Hungary made progress in achieving high economic development and improving living standards over the second half of the 2010s. This progress was reflected in increasing gross domestic product (GDP) figures and declining unemployment rates.
However, a series of global events had negative effects on the country’s economy in recent years, including the coronavirus (COVID-19) pandemic, the energy crisis, and the Russia-Ukraine war, not to mention soaring inflation rates.
The value of goods imported to Hungary peaked in 2022 at over 165 billion U.S. dollars, while 2023 recorded a sight decrease. Germany has also become the country’s leading import partner, followed by China and Austria. Electrical machinery and equipment the country’s main import products, followed by nuclear reactors, boilers, machinery and mechanical appliances. Furthermore, in 2023, Hungary imported over 15 billion euros worth of vehicles and parts and accessories thereof.
Since the 2010s, Hungary has seen economic growth and an improvement in living standards. This progress is reflected in increasing GDP figures, particularly fueled by the service sector. Hungary maintains an export-oriented economy, with Germany being its main trading partner.
GDP figures are expected to increase
In 2023, Hungary’s GDP amounted to approximately 212 billion U.S. dollars, marking an increase from the preceding year. Following a swift recovery from a drop of over 13 percent in the second quarter of 2020, the growth rate of GDP totaled 6.5 percent in the second quarter of 2022. However, the GDP growth rate slowed down over the following quarters, reaching even negative values, and totaling 1.7 percent at the beginning of 2024. Nevertheless, the forecast indicates an increasing trend, with the country’s GDP reaching nearly 310 billion U.S. dollars by 2029. In the last decade, the service sector accounted for the highest share of gross domestic product, with the travel industry being one of its main drivers. Despite the difficulties faced over the past years due to the coronavirus (COVID-19) pandemic and rising energy costs, the tourism industry is expected to regain its momentum and reach a nearly nine percent share in GDP by 2028.Germany is Hungary's main trading partner
Hungary has been a member of the Organization for Economic Co-operation and Development (OECD) since 1996 and the European Union (EU) since 2004. By the 2010s, Germany had become the country’s most important export partner, accounting for almost 39 billion euros worth of product exports in 2023. Hungary has an open, export-oriented economy that recorded a positive trade balance each year between 2011 and 2020. However, in 2021, Hungary experienced negative values in terms of the trade balance of goods, and by 2022, the country's trade deficit reached nearly 13 billion U.S. dollars. The country’s most important export products have mainly consisted of vehicles and goods related to the electrical machinery industry, with mineral fuels and oils, as well as pharmaceuticals figuring among Hungary’s main export products.The value of goods imported to Hungary peaked in 2022 at over 165 billion U.S. dollars, while 2023 recorded a sight decrease. Germany has also become the country’s leading import partner, followed by China and Austria. Electrical machinery and equipment the country’s main import products, followed by nuclear reactors, boilers, machinery and mechanical appliances. Furthermore, in 2023, Hungary imported over 15 billion euros worth of vehicles and parts and accessories thereof.
Since the 2010s, Hungary has seen economic growth and an improvement in living standards. This progress is reflected in increasing GDP figures, particularly fueled by the service sector. Hungary maintains an export-oriented economy, with Germany being its main trading partner.
