Inflation Finally Drifting Back to Normal

The rate of inflation in Hungary experienced a decrease to 17.6% in July of this year, in comparison to July of the previous year. In June, the inflation rate was recorded at 20.1% when compared to the same month last year. On a monthly basis, there was a slight increase in consumer prices from June to July; however, it was not markedly different from previous years. The Oeconomus think tank revealed that consumer prices in Hungary on average increased by 0.3%.

In July, the average cost of food decreased by 0.9% compared to the previous month, making it the second consecutive month of decline. Moreover, the prices of clothing and consumer durables also experienced a decrease. Looking ahead, there is a possibility that the annual rate of monetary depreciation in Hungary will continue to slow down in the upcoming months. As a result, it is feasible that by the end of the year, inflation could be within a single-digit range, meaning that it could fall below 10%.

Historical and projected inflation rates in Hungary. Image: Oeconomus

Inflation Drop: Reasons Explored

Impressive rise in wages regardless of inflation

In the field of finance, wages have surpassed the threshold of 1 million forints for two consecutive months in this year. Keep reading.

By Oeconomus; Main Image: Pixabay