Good news came from the Hungarian economy – UPDATE
Output in Hungary’s industrial sector rose 4.5% a year in February, about half the pace in January, the Central Statistical Office (KSH) said in a detailed reading of the data on Wednesday. Output in Hungary‘s construction sector rose 42.3 percent a year in February, the fastest pace in nearly three years, the Central Statistical Office (KSH) said on Wednesday.
The automotive segment, which accounted for 25% of the manufacturing sector in February, fell 0.8% year on year as production stoppages and scale reductions due to the global shortage of semiconductors hit the sector recently. Production in the computer, electronic and optical equipment segment, which accounts for 11% of manufacturing, rose 2.0% year on year in February.
Output from the food, beverage and tobacco segment, which still accounted for 11% of manufacturing output, rose 10.0%. Adjusted for the number of working days, overall production increased by 4.5%.
UPDATE (14:57 GMT)
Output in Hungary’s construction sector rose 42.3 percent a year in February, the fastest pace in nearly three years, the Central Statistical Office (KSH) said on Wednesday. Production in the building segment climbed 56.2%, while production in civil engineering rose 20.0%.
In absolute terms, production in the construction sector amounted to 397.9 billion forints (1.1 billion euros) in February.
In a month-on-month comparison, production in the construction sector rose 13.3%, adjusted for seasonal and working day effects. The stock of orders in the construction sector was 19.2% higher at the end of February than its level twelve months earlier. Buildings segment orders increased by 15.6% and civil engineering orders increased by 21.7%. New orders jumped 92.7% during the period, with new orders in the buildings segment up 65.3% and new civil engineering orders up 128.2%.
András Horváth, chief analyst at Takarékbank, said state subsidies for buying and renovating homes could be a driver of the current strong demand. He added that general contractors’ projections at the start of the year for annual price increases of around 10% have been increased to 25% or more.