Free Trial

Budget Carries Over Windfall Tax, Sets Lofty Deficit Reduction Goals

HUNGARY
  • The government have formally submitted their 2024 draft budget plans to parliament, with post-COVID windfall taxes set to remain in place next year – extended the initial temporary two-year period. The policy will be tweaked, however, lessening the burden on banks, pharma and energy firms by halving the tax rate. The rate remains the same for retail firms.
  • The draft budget looks for a deficit of 2.9%/GDP in 2024, with year-end debt/GDP ratio of 66.7% - a notch lower than the 69.7% seen at the end of this year. The draft bill assumes GDP growth averaging 4% over the coming years – ahead of median analyst consensus – which could harm deficit projections if not met.
  • PPI data out this morning showed PPI slipping on both the M/M and Y/Y reads: April PPI fell 2.0% from March, slowing the annual rate to 15.9% from 21.7% prior.
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.