The OECD projects economic growth in Hungary to accelerate to 3% in 2017 from 2.5% this year, while inflation will speed up to 0.7% to 1.7%. The OECD said that sustaining growth will require structural reforms to strengthen the business sector and upgrade skills.
The Hungarian economy has expanded strongly in recent years, helped by robust exports and firm domestic demand, but incomes are among the lowest in the OECD and structural reforms will be needed to sustain growth over the medium term, strengthen business investment and better match skills to labour market needs, according to a new OECD report, published on Friday.
The OECD Economic Survey of Hungary says boosting business sector investment among small and medium-sized enterprises would help raise incomes and well-being by increasing the relatively low level of labour productivity.
Prime Minister Viktor Orbán and Secretary-General of the OECD Ángel Gurría held talks in Budapest on Friday. Gurría Mr. Gurría praised Hungary’s achievements and continues to regard it as important for Hungary to share its experiences with other states. President Áder János also held discussions with the OECD head at the Sándor Palace.
