The government expects bigger growth than the OECD.
The OECD's forecast matches the Hungarian government's opinion that the economic growth will strengthen next year, EU funds are still available and internal private consumption will be an important factor of growth, according to the Ministry of National Economy (NGM). Deputy State Secretary László Balogh said that both OECD and the government expects growth, though OECD counts with slower growth than the government or the European Commission, whose opinion is closer to the official Hungarian standpoint which reflects reality more. He added that OECD's recent forecast didn't take into account the tax reductions on which the government agreed last week.
The OECD lowered its projection for Hungary’s GDP growth next year to 2.5 percent in volume terms in a forecast published on Monday from the 3.1 percent in the previous Economic Outlook released in June 2016.
