March 1st, 2010

Analysts forecast investments unlikely to improve noticeably in 2010

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Investments are not likely to improve noticeably in 2010 after plunging in 2009, analysts told MTI on Friday after the Central Statistics Office (KSH) published fresh data.

Investment volume in Hungary fell 11pc in Q4 from the same period a year earlier and were down 8.6pc for the full year, KSH said in the morning.

K and H bank chief analyst Gyorgy Barcza blamed the worse than expected data on the construction industry and the real estate market. There were no big segments that could improve the headline figure, he added.

Investments are likely to fall another 5-6pc in 2010, Mr Barcza said.

Gyorgy Barta of CIB Bank said the squeeze on corporate lending and falling domestic demand were behind the drop. He projected a 2pc fall in investments for 2010.

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  1. Rolrox says:
    March 1, 2010 at 1:01 pm

    Are these the same analysts who are telling us the
    recession is over in HU? Or are they the ones that
    are saying inflation is just 6%, even though BKV
    ticket prices have risen by 20% in 17 months.