Fitch affirms Hungary’s ‘stable,’ ‘robust’ economy

Despite a slight GDP slowdown in the second quarter, Fitch Ratings has affirmed Hungary’s “stable” economic outlook and BBB rating, calling growth “still robust.” The agency said the country’s BBB rating “balances strong structural indicators and stronger and more stable macroeconomic performance than peers against high general government debt and risks from policy unpredictability and pro-cyclical policies.” Hungary’s economic growth slowed to 4.9 percent in Q2 from 5.3 percent in the previous quarter. Fitch is forecasting growth will slow further to 4.4 percent in 2019 before falling to 3.4 percent in 2020 and 2.5 percent in 2021.