Economy

Factory gate prices in Hungary fell by an annual 0.2 percent in May, falling for the tenth month in a row after rising for years, the Central Statistical Office (KSH) said on Friday.

Mandatory supermarket discounts on certain food produce including bread, meat and milk have fulfilled the aim of pushing down inflation, and the measure will be dropped from July 1, the national economy ministry said on Tuesday.

Hungary recorded a central budget surplus of 49 billion forints (EUR 123.5m) in May, the finance ministry confirmed in a detailed reading of data released on Monday, adding that the country's economy had returned to a growth path.

Gross wages of full-time employees was 645,300 forints in April, up 13.5 percent year on year, the Central Statistical Office (KSH) said on Friday.

Hungary's government aims to further increase its "already record-high" labour activity rate to 85 percent over the coming years, Peter Szijjarto, the minister of foreign affairs and trade, said in Budapest on Thursday.

Hungary's government is extending an interest rate freeze on retail loans until the end of 2024, Marton Nagy, the national economy minister, said in a statement on Thursday.

Hungarian central bank policymakers cut the base rate by 25 basis points to 7.00 percent at a scheduled meeting of the Monetary Council on Tuesday.

Fitch Ratings has affirmed Hungary's investment grade sovereign rating, after Moody's and Scope Ratings did the same, Finance Minister Mihaly Varga said in a post on Facebook late Friday.

Construction output jumped by an annual 15.6 percent in April, the Central Statistical Office (KSH) said on Friday.

Hungary's industrial output was up by an annual 6.4 percent in April, but fell by 2.4 percent when adjusted for the number of workdays, the Central Statistical Office (KSH) said on Thursday.