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Finance Minister: 2022 Budget Targets 5.2% Growth, 5.9% Deficit

MTI-Hungary Today 2021.05.04.

The government targets economic growth of 5.2 percent, with a deficit target of 5.9 percent of GDP and public debt of 79.3 percent, Finance Minister Mihály Varga said, presenting the 2022 budget bill to parliament on Tuesday.

Varga said the budget was aimed at relaunching the economy, supporting families, reintroducing the 13-month pension, providing tax exemptions for earners under 25, while further reducing the tax burden on employers and supporting investments that create jobs.

Fully 7,308 billion forints (EUR 20.3bn) is penciled in to restart of the economy, amounting to the biggest economic programme in modern Hungarian history, he said.

The draft 2022 budget is 483 billion forints larger than this year’s, he said, noting that 2,778 billion forints is being made available for family support measures such as personal income tax exemptions and housing subsidies.

The government will also spend 2,884 billion forints on healthcare, 769 billion more than this year, Varga said.

In order to manage risks, a 233 billion forint reserve fund has been set aside in the budget, the minister noted.

How Much Do Hungarians Earn? More Realistic Data Revealed by Central Statistical Office
How Much Do Hungarians Earn? More Realistic Data Revealed by Central Statistical Office

The Central Statistical Office (KSH) published the data of monthly median wages in Hungary for the past two years. The median wage has been a shortfall in statistics for a very long time, however, the statistical office released a more detailed series of data connected to the indicator. What can be concluded from this is […]Continue reading

Varga said average wages were expected to grow by 8 percent next year. Regarding the basic minimum wage and the minimum wage for skilled workers, he noted that an agreement between employers and employees would provide the basis for calculating them.

featured image: Minister Varga (l) hands the 2022 budget bill to deputy speaker of the Parliament János Latorcai; via Tibor Illyés/MTI