Tax & Spend
Hungary Overshoots Deficit Target Casting Doubt Over 2024 Plan
- Government raised 2023 deficit target to 5.9% of GDP
- Last minute revision adds to doubts about this year’s target
The Hungarian Parliament building in Budapest.
Photographer: Akos Stiller/BloombergThis article is for subscribers only.
Hungary’s government said it will overshoot the budget deficit estimate for 2023 by more than half a percentage point of economic output, raising fresh doubts about the credibility of its fiscal targets.
In a last minute announcement, the Finance Ministry said the projected shortfall for the year ended Dec. 31 will hit 5.9% of GDP. That is 0.7 percentage point higher than the government’s revised deficit target for the year, and compares to the 3.9% estimated initially.